Descending leg is about to come

Bulls are riding AUD/USD

Westpac Consumer Confidence has been published in Australia and the US will release Inflation Rate data. On the chart the price has formed a descending channel. The channel has currently formed and several reaction has been made to the top, mid and base line of the channel.

            Chart Notes: 

           • Chart time-zone is UTC (+03:00)

           • Candles’ time-frame is 4h.


The support rests at 0.69350 with resistance at 0.69710 which both lines are below the weekly pivot point at 0.69840. The EMA of 10 is moving with bearish bias in the descendant channel and it is below the EMA of 200 and above the EMA of 100. The RSI is rising towards 50 level, the MACD line is below the signal line in the negative territory and the Stochastic is showing downward momentum. The ADX is showing sell signal. The price is below the Ichimoku Cloud and above the Chinkou Span. The Tenkan-sen and the Kijun-sen are both showing a downward trend.
Short positions are recommended towards 0.69200.

• DISCLAIMER: Please note that the above analysis is not an investment suggestion by “Capitalcore Ltd”. This post has been published only for educational purposes.