Will the bearish momentum on the Aussie resume or are the buyers retracing the price?
The buyers of the Aussie were the big profit makers since the 17th of December 2015, whereas the sellers lost ground, either having made a minor profit, in few cases, or faced huge loses.
From the 31st of December 2015 and thereafter in 2016 though, the pair has been mainly oscillating aggressively to the downside between the range of 0.7325 and 0.7096 respectively.
The price has currently stabilized close to the 0.7096 level which is today’s major pivot point area.
Probable Scenario
In the scenario where the buyers are able to withhold the pair above the 0.7096 zone, they could boost the price to upper areas such as the 0.7166 level, Fibonacci’s 23.6%, and the 0.7205 level, Fibonacci’s 38.2%.
Alternative Scenario
In contrast, in the condition where the sellers take advantage of today’s FOMC Minutes event and this announcement turns bearish on the AUDUSD, the price could drop down to the 0.7000 zone.
Today’s Major Announcements
- The FOMC Minutes release is expected to have a strong impact on the U.S. dollar
- There are no any major announcements that could influence the Australian dollar
Synopsis
- Probable trend (Bullish): 0.7096
- Bullish take profit targets: 0.7166, 0.7205
- Stop loss target:0.7059
- Alternative trend (Bearish): 0.7059
- Bearish take profit target: 0.7000