AUDUSD, “Australian Dollar vs US Dollar”
In the H4 chart, the downtrend continues, but at the same time one can see the convergence being formed, which may indicate a possible pullback. The targets of this pullback may be the retracements of 23.6%, 38.2%, and 50.0% at 0.7552, 0.7602, and 0.7643 respectively. The support level is the short-term low at 0.7472.
The H1 chart shows more detailed structure of the current movement. If the price breaks the low, the instrument may fall towards the post-correctional extension area between the retracements of 138.2% and 161.8% at 0.7448 and 0.7432 respectively.
USDCAD, “US Dollar vs Canadian Dollar”
As we can see in the H4 chart, the divergence made USDCAD reverse and start a new downtrend, which has already reached the retracement of 23.6%. The next downside targets may be the retracements of 38.2% and 50.0% at 1.2767 and 1.2721 respectively. However, if the price breaks the high, it may grow towards the retracement of 76.0% at 1.2981.
In the H1 chart, the situation is the same and confirms the scenario described above.
RoboForex Analytical Department