FX.co ★ hickle.manuela | Comprehensive Analysis in Trading: Mastering Methodologies

AUD/USD

The upper screen shows a weekly view of the asset, with a bearish scenario being the priority based on the structure. The recent expansion candle indicates the strength of sellers and control in the market. The target level in the form of a weekly fractal lies around 0.6988+/-, the target for the new week in the medium term, is unlikely to see such a significant decline again. Currently, buyers will try to play out, as always, such a drop, and the market (major player) allows to return (play out) to balance buyers and sellers and bring the asset to fair value. So, bullish activity with the market opening may be a relevant topic.

On the daily period, I will still be looking for some correction (growth) to get better conditions for a new selling trade. The correction area is highlighted in gray between the levels of 0.7037 and 0.71435, but I focus on the 50% area up to the level of 0.7089+, where I will be looking for a reversal in favor of selling. The target is set - the nearest swing low (fractal) with a value of 0.6988+/- (weekly period). By the way, there is also a significant imbalance located there. A strong area of support/resistance for buyers.