Dmitriy Gurkovskiy | Oct 22, 2020 11:42
As we can see in the H4 chart, the correctional downtrend in AUD/USD hasn’t reached 23.6% fibo at 0.6962 after a divergence on MACD. At the moment, there are signs in favor of new consolidation. Right now, both scenarios (bullish – a growth towards the high at 0.7414, and bearish – further decline to reach 23.6% and 38.2% fibo at 0.6962 and 0.6685 respectively) are equally possible. In the case of the first scenario, the instrument may break the high at 0.7414 and then reach the long-term 76.0% fibo at 0.7504.
The H1 chart shows an ascending wave after a convergence on MACD. After reaching 50.0% fibo, the pair has started a correction. Later, the instrument may resume trading upwards to reach 61.8% and 76.0% fibo at 0.7158 and 0.7190, as well as the high at 0.7243. The support is the low at 0.7021.
As we can see in the H4 chart, USD/CAD is moving upwards after a convergence on MACD and has already reached 23.6% fibo. The main scenario implies further growth with the targets at 38.2%, 50.0%, 61.8%, and 76.0% fibo at 1.3210, 1.3250, 1.3291, and 1.3338 respectively. However, an alternative scenario says that the asset may break the low at 1.1.3081 and then continue falling towards the fractal low at 1.2994.
The H1 chart shows that the pair has reached 23.6% fibo and may start a new pullback. After the pullback, the asset may resume growing towards 38.2% and 50.0% fibo at 1.3210 and 1.3220 respectively, or even higher.
Written By: Dmitriy Gurkovskiy
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