Technical outlook:
AUDUSD has been trading within a tight range between 0.6900 and 0.7000 since the last two trading sessions. The currency pair is seen to be trading close to 0.6960 at this point in writing and is expected to push through the 0.7275 initial resistance going forward. Bulls are expected to hold prices above 0.6830 lows to keep the structure intact.
AUDUSD has carved a lower degree upswing between 0.6830 and 0.7280 as seen on the daily chart. The same has been retraced through 0.6850 last week and is now ready to push through 0.7450 at least before reversing Fower again. Also, note that 0.7450 is the Fibonacci 0.786 retracement of the downswing between 0.7660 and 0.6830.
AUDUSD has been dropping since printing the 0.8000 highs and might have terminated its corrective decline around 0.6830. If the above structure holds well, bulls will be poised to push through 0.7450 and up to the 0.7660 initial resistance. It would confirm that bulls are back in control and that the potential trend has reversed.
Trading plan:
Potential rally towards 0.7450 against 0.6800
Good luck!
