Yesterday’s optimism on the aussie market turned inverse immediately after the prices reached the lower limit of the Ishimoku cloud on four-hour graphs. The price bounced off of the Senkou Span A and directed to the Tenkan-sen and the Kijun-sen(3,4), which had already formed the Gold Cross(5).
We should probably expect testing of at least the Rotation line levels (3). Further another attempt to test the Kumo might be undertaken.
At the same time the major trend is downward since the Ishimoku cloud has a downward character.
As expected, yesterday the bulls tried to reach the 1.000 level. But despite the level was reached, the buyers could not break it and the price started a downside correction. At the same time, 1-hour Tenkan-sen and Kijun-sen have already started forming the Dead cross(3), and the Senkou Span A (1) has bent down which indicates the market’s intention to extend the correction.
Thus, the pair is likely to decline in the today’s session. If the bears will continue the pressure, the price will probably move inside the Ishimoku cloud near its lower limit.
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