Bulls to the Rescue on AUD/USD from 0.7744?

The Australian versus the United States dollar currency pair seems to be attempting a rotation from 1.7744. Will the bulls succeed?

Long-term perspective
After falsely piercing the firm support area of 0.7010 and printing the 0.6991 low, the price started a rally that — after reaching the 0.7320 zone — fueled an appreciation that managed to climb until the 0.7820 high.
From there, as the bulls were not able to secure 0.7744, a consolidation phase took shape, one that ended up — as with the previous rally — by falsely piercing the support — in this case, 0.7587, after printing the 0.7563 low — and soaring to the 0.8007 peak.
The 0.8007 high was a good spot for the bears to join the market, so that is precisely what they did. As the events unfolded, the bulls strived to find support at 0.7744, but the bears printed one more leg down, defining the 0.7621 low.
Still, refusing to be defeated, the bulls set the price back above 0.7744. On March the 18th, the bears wanted to send the price back underneath 0.7744, but the bulls opposed, as, on Friday, they did all they could to protect the level.
So, as long as 0.7744 remains support, the bulls could spark another rise, targeting 0.7914. On the flip side, if 0.7744 cedes, then the bears will have the green lights to 0.7587, which is the neckline of a potential head and shoulders chart pattern with the left-side shoulder marked by 0.7820 and the head by 0.8007.
If the bears validate the neckline in their preferred direction, then 0.7453 is the first target, followed by 0.7320.

Short-term perspective
The fall from 0.8007 extended until the 0.7621 low. From there, the bulls retook 0.7667 and climbed until the 0.7849 high, noting in the process a series of higher lows and highs.
If they manage to confirm 0.7742 as support, then the bulls may head for the 0.7802 intermediary level and then attempt to regain 0.7883.
On the other hand, if 0.7742 is confirmed as resistance, the bears could check 0.7667, which, if the bulls can’t defend, opens the door to 0.7580.

Levels to keep an eye on:

D1: 0.7744 0.7914 0.7587 0.7453 0.7320
H4: 0.7742 0.7802 0.7883 0.7667 0.7580

If you have any questions, comments, or opinions regarding the US Dollar, feel free to post them using the commentary form below.

Original from: www.earnforex.com