By: Dima Chernovolov
AUD/NZD continues to rise inside the hourly Rising Wedge chart pattern which was identified previously by Autochartist. Autochartist rates the quality of this Rising Wedge at the 5-bar level – which is the result of the slow Initial Trend (2 bars), medium Uniformity (5 bars) and substantial Clarity (8 bars). AUD/NZD is expected to rise further inside this Rising Wedge – in line with the earlier upward reversal from the key support area shown below.
As can be seen from the daily AUD/NZD chart below, the price earlier reversed up with the daily Morning Star from the support area lying between the key support level 1.0280 (which also reversed the price with the daily Morning Star in April) and the lower weekly Bollinger Band. The proximity of this support area increases the probability AUD/NZD will continue to rise inside this Rising Wedge.