AUD/USD: possible reversal

The outlook for the aussie is looking more bearish: there is a a possible outside bar reversal forming on the daily chart, although the volume is quite low, nevertheless it is a bearish sign. Resistance at the day’s highs from the upper boundary of the rising channel also indicates more downside. A breach of the 1.0435 lows – or other alternative level – could provide some sort of confirmation of a reversal. The target down is at the lower channel line at 1.0275. There is also the possibility of support operating at 1.0379 from the monthly pivot.

Written by Forex4you.com