The Australian dollar traded in the range of 54 points yesterday with the day closing at -11 points (from Friday's close), and this development occurred at the target level of 0.7171.
What's more important is the clearly expressed support of the daily balance line – the price could not overcome this support, which indicates the corrective nature of the entire decline since the beginning of January. The Marlin Oscillator is neutral, it has not left the growth zone, according to the first signs it is ready for an upward reversal. The first growth target is 0.7227. There is a significant resistance of the MACD line near the January highs in the area of 0.7265. Consolidation above the level opens up the prospect of growth to 0.7414.
The chances of developing a decline are decreasing, the price needs to settle under the level of 0.7171.
The first signs of a short-term upward price reversal are being created on the four-hour chart - the Marlin Oscillator has entered the positive area after the previous convergence with the price, the price itself is trying to go above the balance indicator line, above this line, there is a MACD line near the 0.7227 level, which strengthens it.
It is possible to recover the decline after going under yesterday's low of 0.7150, but this decline will be fraught with the danger of double convergence with Marlin – the low may be updated on January 7, followed by an upward reversal of the price.
Thus, at the moment the aussie's situation is multivariate and unsuitable for opening trading positions.
