FX.co ★ Forecast for AUD/USD on May 12, 2022

Yesterday, the Australian dollar made a sharp jump, formed as a high upper shadow on the daily chart, the final candle was 2 points. The upper shadow tested the target level of 0.7056, and it is very likely that the ardor of the impulsive bulls has been satisfied and has now dried up. The signal line of the Marlin Oscillator maintains convergence with the price, but only because it did not catch up with the price. In the event of a downward price movement, the oscillator will turn down as well. The target level is the May 2019 low at 0.6865, just below which is the lower limit of the descending price channel.

On the H4 chart, during the price consolidation, the Marlin Oscillator managed to discharge from the oversold zone (it is still in the downward trend zone), now Marlin is ready for a new downward movement.