Type:
Bullish Rise
Key Levels:
Resistance: 0.69555
Pivot: 0.68620
Support: 0.68100
Preferred Case:
On the H4, with prices moving above the ichimoku indicator and breaking out of the descending channel , we have a bullish bias that price will rise from the pivot at 0.68620 where the overlap support is to the 1st resistance in line with swing high resistance and 127.2% fibonacci extension .
Alternative Scenario:
Alternatively, price may break pivot structure and drop to the 1st support level at 0.68100 in line with the pullback support, 61.8% fibonacci projection and 50% fibonacci retracement .
Fundamentals:
Following Gov Lowe’s comments regarding an expectation for inflation to reach 6 to 7% and the requirement for further interest rate increases, we have a bullish bias on the Australian Dollar.
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Written by Desmond Leong
Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.
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Source: Tickmill