AUD/USD Price Analysis: Bulls need to get over the key resistance line
|- AUD/USD bulls eye a stronger correction into the M-formation's neckline.
- Bears look to cap bulls in shallow grounds.
AUD/UUS is rising on the back of the weaker US Dollar and ahead of domestic inflation data that will be eyed in terms of the currency's current northerly trajectory as a potential catalyst. The following illustrates the technical outlook on the daily and 4-hour charts.
AUD/USD daily chart
AUD/USD's daily M-formation offers prospects of a move towards the neckline in the coming days. A 50% mean reversion meets the area around 0.6730 while the 61.8% Fibo comes in at the 0.6750 level.
AUD/USD H4 chart
There is a large imbalance on the way towards the targets on the 4-hour chart but bulls will need to get over the trendline resistance first. The bears are capping the attempts at a 50% mean reversion of the last bearish 4-hour impulse's range.
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