AUDUSD under the negative pressure – Analysis - 19-02-2019

The AUDUSD pair bounced bearishly after touching the minor bullish channel’s resistance that appears on the chart, to break 0.7135 level and settles below it, and we believe that the mentioned channel forms bearish flag pattern, which means that breaking 0.7085 will activate the negative effect of this pattern and press on the price to decline towards 0.7000 areas initially.

On the other hand, stochastic shows positive signals that might protect the price from suffering more losses, which makes us prefer staying aside temporarily until the price confirms breaking the the above mentioned support or breaching 0.7165 resistance, noting that breaching this resistance will push the price to achieve gains that reach 0.7220 followed by 0.7300.

The expected trading range for today is between 0.7050 support and 0.7165

The expected trend for today: Neutral