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AUD/USD Working on an Ascending Triangle Resistance

The AUD/USD has been trading in sideways action for the last couple of weeks as we can see in the 4H chart. 

AUD/USD 4H Chart 12/12

(click to enlarge)

Ascending Triangle:
- The 4H chart shows that price was bearish before forming an ascending triangle in the late part of November. 
- The triangle reflects consolidation, and the 0.75 area is the flat resistance in this consolidation pattern.
- A clear break above 0.75 would therefore signal a bullish outlook.
- A conservative bullish outlook should be limited to the 0.77 pivot, which is below the November low. 

AUD/USD Daily Chart 12/12

(click to enlarge)

A Stronger Bullish Scenario:
- Looking at the daily chart, we can say that AUD/USD formed a price bottom early in 2016. 
- Also, after a pullback in late April-May, price respected the price bottom as support, further confirming the bullish reversal scenario.
- If this bullish reversal scenario is indeed the case, we can have a stronger bullish outlook.
- Above 0.77, we can see the next resistance in the 0.78-0.7830 area. 

Monitor 0.76:
- Note the common resistance around 0.76. A break above this level would be a key confirmation for the bullish outlook.
- Now, if the market is NOT in a bullish reversal, but instead simply in a long-term consolidation, we should consider the possibility of further bearish correction against the 2016 upswing. 
- In other words, a failure to push above 0.76 suggests downside risk to 0.73, and even 0.7150. 

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