Trade of the Day: AUD/USD

By: Dima Chernovolov

AUD/USD continues to advice inside the hourly Up Channel chart pattern which was previously identified by Autochartist. Autochartist rates the quality of this Up Channel at the 5-bar level – which is the result of the medium-strength Initial Trend (4 bars), above-average Uniformity (6 bars) and medium Clarity (5 bars). AUD/USD expected to rise further inside this Up Channel – in line with the earlier upward reversal from the support area highlighted below.

As can be seen from the daily AUD/USD chart below – the bottom of this Up Channel formed when the pair revered up from the support area lying between the key support level 0.6450, lower daily Bollinger Band and the support trendline of the daily down channel from January. The proximity of this support area increases the probability AUD/USD will continue to rise inside this Up Channel.