AUDUSD, “Australian Dollar vs US Dollar”
As we can see in the H4 chart, after finishing the correctional uptrend, AUDUSD started a new correction to the downside, which has already broken the previous low and right now is trading towards the post-correctional extension area between the retracements of 138.2% and 161.8% at 0.7312 and 0.7250 respectively. The resistance level is at 0.7477.
As we can see in the H1 chart, the convergence made the pair reverse and complete the correction at the retracement of 23.6%. By now, the price has broken the previous low and started another descending impulse, which is heading towards the post-correctional extension area between the retracements of 138.2% and 161.8% at 0.7324 and 0.7308 respectively.
USDCAD, “US Dollar vs Canadian Dollar”
As we can see in the H4 chart, USDCAD is trading upwards. The price has broken the high and may continue moving to reach the post-correctional extension area between the retracements of 138.2% and 161.8% at 1.3358 and 1.3497 respectively. The support level is at 1.3124.
The H1 chart shows more detailed structure of the current movement. The divergence that is being formed may indicate that the instrument may resume falling after it reaches the post-correctional extension area between the retracements of 138.2% and 161.8%.
