FX.co ★ AUD/USD new downtrend in play

AUD/USD minor growth

As you can see on the H4 chart, the AUD/USD pair dropped below the uptrend line signaling that the upside movement ended and that the pair could develop a downside movement. It has dropped as low as 0.7108 level where it has found demand. Actually, a temporary growth was somehow expected after its massive drop.

The pair could drop deeper towards fresh new lows as long as it stays under the downtrend line. Only staying above the 0.7108 downside obstacle and passing above the downtrend line could invalidate a deeper drop.

AUD/USD trading conclusion

Staying below the downtrend line and dropping below 0.7108 immediate low could validate more declines and bring new selling opportunities