AUDUSD, “Australian Dollar vs US Dollar”
As we can see in the H4 chart, after breaking the low and reaching 38.2% fibo, the descending wave has been followed by a new pullback. After the pullback is over, AUDUSD may resume trading downwards to reach the post-correctional extension area between 138.2% and 161.8% fibo at 0.6934 and 0.6830 respectively, and then the long-term 50.0% fibo at 0.6758.
The H1 chart shows a more detailed structure of the current correction. The first wave has reached 23.6% fibo, while the next one may be heading towards 38.2%, 50.0%, and 61.8% fibo at 0.7206, 0.7273, and 0.7339 respectively. The support is the low at 0.6991.
USDCAD
As we can see in the H4 chart, divergence on MACD made the pair stop its growth at 76.0% fibo and start a new correctional downtrend. The next upside target is still the high at 1.2949. Moreover, a breakout of the high will lead to a further uptrend to reach the long-term 38.2% fibo at 1.3022. The support remains the low at 1.2288.
In the H1 chart, the decline reached 38.2% fibo after divergence on MACD, but was later followed by local convergence and a new decline. However, it doesn’t exclude a possibility of another descending impulse towards 50.0% and 61.8% fibo at 1.2571 and 1.2505 respectively. A breakout of the local resistance at 1.2854 will result in a further uptrend.
