Technical outlook:
AUDUSD dropped through 0.6853 intraday on Thursday, just shy by three pips from breaking below the swing low at around 0.6850. The currency pair has risen through 0.6888 at this point in writing and is looking poised to push further from here. Now bulls will be inclined to hold prices above 0.6850 to keep the structure constructive.
AUDUSD might have completed a larger-degree corrective wave between 0.8000 and 0.6830 as seen on the daily chart. The potential zigzag (5-3-5) drop terminated at around 0.6830 before rallying past 0.7280. If the proposed structure holds well, the next leg should be higher from here and push through 0.7350 at least.
AUDUSD has been working on the recent upswing between 0.6830 and 0.7282 in the past several trading sessions. The currency has carved two higher lows at around 0.6850 and 0.6853. Bulls might be preparing to produce a sharp rally from here provided that the 0.6830 interim support remains intact.
Trading plan:
Potential rally against 0.6830 towards 0.7350
Good luck!
