AUDUSD, “Australian Dollar vs US Dollar”
As we can see in the H4 chart, the convergence made AUDUSD reverse and start a new correctional downtrend, which has already reached the retracement of 38.2%. The next downside targets may be the retracements of 50.0% and 61.8% at 0.7179 and 0.7143 respectively. After completing the correction, the instrument is expected to resume trading upwards to reach the high at 0.7337. If later the price break it, the pair may continue the mid-term correctional uptrend towards the retracement of 38.2% at 0.7447.
The H1 chart shows more detailed structure of the current correction.
USDCAD, “US Dollar vs Canadian Dollar”
As we can see in the H4 chart, USDCAD is still trading upwards with slight pullbacks and, at the same time, there is a divergence on MACD. The key upside target is the high at 1.3386; the local support is at 1.3083. However, the divergence may force the correction to go deeper to reach the retracements of 23.6%, 38.2%, and 50.0% at 1.3191, 1.3113, and 1.3050 respectively.
In the H1 chart, the price is trading towards the retracement of 23.6% at 1.3191. If the pair breaks the high at 1.3318, the instrument will continue moving upwards.
