AUD/USD – Technical Analysis – 4h

The chart shows a transition from a bearish trend to a more bullish outlook in recent sessions with higher highs and higher lows indicating bullish momentum.

Noticeable patterns include bullish engulfing patterns earlier in the upward move, suggesting reversal from prior bearish sentiment. There are also smaller bullish candles indicating steady buying pressure.

A recent breakout above the 0.6520 level, which previously acted as resistance, confirming upward momentum.

There is a bullish crossover with the MACD line crossing above the signal line, which is often a buy signal, indicating increasing bullish momentum.

The histogram is in positive territory and showing increasing momentum, supporting the bullish trend.

Currently, there are no clear divergences observed between price and MACD, confirming alignment in trend direction.

While the chart shows steady volume, it's important to note that volume spikes occurred during breakouts and reversals, indicating strong market interest.

Increased volume supports recent price increases, confirming the legitimacy of the bullish trend.

Key support is identified around the 0.6520 level, which was previously resistance.

Immediate resistance appears near the 0.6580 level and could be tested soon given the current upward momentum.

Consider buying opportunities on pullbacks close to the support level of 0.6520 if the bullish trend continues. Look for confirmation with bullish candlestick patterns or volume support.

Set potential sell targets close to the resistance level of 0.6580, or wait for signs of bearish divergence in MACD or volume to confirm a reversal.

If currently holding, maintain positions while monitoring support and resistance levels for any signs of reversal.