H4
As expected, the aussie started to correct. For yesterday’s trading session the aussie declined to the 1.0680 level and appeared inside the Tenkan-Kijun channel.
However, it only reached the Kijun-sen (4) today.
At the same time, the Tenkan-Kijun channel is getting narrow – the lines are approaching each other. In the nearest time we should probably expect a rebound from the Kijun-sen to the upside.
Downside movement will be continued after the price reaches the Rotation line and a decline to the upper limit of the Cloud is possible.
H1
Yesterday in 1-hour graphs, as expected, the trading was located inside the Cloud. However, the bulls tried to get to the positive area and fixate above the Senkou Span A.
This attempt was about to be successful as all three resistances were broken: the Tenkan-sen, the Kijun-sen and the Senkou Span A. They were all horizontal.
However, near the 1.0760 level the bears initiated a counterattack and brought the price back into the Ichimoku Cloud.
Today’s trading also started with the bearish influence. The rate bounced off the horizontal Kijun-sen and is falling further. It has already tested the first support 1.0765, mentioned in the previous review.
During next few hours we will probably see consolidation on current levels. Then downside movement will be resumed.