AUDUSD, “Australian Dollar vs US Dollar”
As we can see in the H4 chart, after breaking 50.0% fibo but failing to reach 61.8% fibo at 0.7257, the correctional uptrend has transformed into a new mid-term descending wave towards the local low at 0.7006. The first important downside target is 23.6% fibo at 0.6964. After breaking this level, the pair may continue trading downwards to reach 38.2% fibo at 0.6685. However, an alternative scenario implies that the instrument may yet grow to break the high at 0.7413 and then reach the long-term 76.0% fibo at 0.7504 but this outcome is very unlikely.
The H1 chart shows a descending wave after a divergence on MACD, which has already reached 50.0% fibo but may rebound from this level. After a short-term correction, AUDUSD may continue trading downwards to reach 61.8% and 76.0% fibo at 0.7096 and 0.7063, as well as the low at 0.7006, which is the actual support level.
USDCAD, “US Dollar vs Canadian Dollar”
As we can see in the H4 chart, USDCAD has completed the correctional downtrend at 76.0% fibo. Right now, the main scenario implies a new growth with the first target at the high at 1.3420 and then the long-term 38.2% fibo at 1.3633. However, an alternative scenario says that the asset may break the low at 1.294 and then continue falling towards the post-correctional extension area between 138.2% and 161.8% fibo at 1.2831 and 1.2731 respectively.
The H1 chart shows the start of a new ascending movement after a convergence on MACD, which is trying to reach 23.6% fibo at 1.3175 and may later continue towards 38.2% and 50.0% fibo at 1.3220 and 1.3260 respectively. The support is the low at 1.3099.
