H4
As expected, the bulls could not mobilize to test the resistance level 1.0200, which has been holding the price since November 2010.
During Friday the price declined even to the lower limit of the 4-hour Cloud. However, the Senkou Span B has provided a good support for the market, which took the aussie rate out of the Cloudiness zone.
Nevertheless, today’s trading began with active selling of the Australian currency and the Dead cross (5) has retained its timeliness.
The Senkou Span A (1) is slowly declining, thus narrowing the range of the Cloud. Therefore, in the nearest time the spot rate may get into the Kumo again.
H1
On 1-hour graphs Friday’s decline resulted in a change of the Cloud’s character to the downside. However, by the end of the trading day the bulls became active and managed to recover the market to the lower limit of the Kumo.
At the same time the Tenkan-sen and the Kijun-sen have formed a Gold Cross (5), which allowed the buyers to make another dash to the upside.
Nevertheless, the price could not fixate in the positive area and fell below the Senkou Span B, where it is supported now by the Rotation line (3).
However, the aussie has already been trying to get into the Tenkan-Kijun channel (3, 4). If the attempt is successful, a decline to the Kijun-sen and even its breakdown are possible.