FX.co ★ Forecast for AUD/USD on January 17, 2023

Yesterday's vigorous price surge was not enough for the price to reach the target level of 0.7048, but the fact that it hit 0.7020 is also significant. It is the high of June 7, 2019, the low of October 2018, etc.

The divergence issue on the daily chart is still unresolved, so a reversal of the current uptrend could take place either from the current levels or from a higher level (0.7048). The first sign of the reversal will be the price moving below the support of 0.6917.

A double divergence has formed on the four-hour chart. The probability of the price reversal has increased. This will be confirmed once the pair has also crossed 0.6917 on the daily chart. Once it crosses this mark it will also cross the MACD line which will increase the probability of further downward movement. The 0.6800 target is the high of November 15, 2022.