The Reserve Bank of Australia is expected to raise interest rates next week. Is a trend change coming?
On the current chart for the AUDUSD currency, we see the development of a global downward trend within a large green channel.
SimpleFX AUDUSD Chart Analysis: June 3, 2022.
We see that in early April, the price reached the upper green line. However, the bulls did not have enough strength to continue growing, and we saw a rapid drop in value. Recently, the price touched the lower green line. Then the market began to grow in the direction of the upper green line within the yellow channel.
Currently, the market is located near the upper yellow line. A bullish trend is expected to develop. The first target for bulls is at the upper yellow line – the resistance level of 0.728. When this price level is broken, the price of quotations is expected to continue to rise towards the upper green line. The second target for the bulls is the resistance level of 0.743.
Alternatively, the probability of the market falling to the lower yellow line is allowed. There is a red moving average line on the price path, which acts as a support line in this case. The breakdown of the level of 0.714 will serve as confirmation that the trend towards the lower line of the yellow channel has begun. Now nothing will prevent the bears from going down to the level of 0.685.
