Technical outlook and chart setups:
The AUD/USD pair dropped to the levels of 0.7900/20 recently and is looking to rally towards at least 0.8050/60 if not higher. The pair has begun a wave 3 corrective decline and the first leg is seen to be formed at the level of 0.7900. The second wave is expected to end around 0.8060 before dropping lower again. It is hence recommended to initiate long positions now, with risk at 0.7850. Immediate support is seen at 0.7900 (interim) followed by 0.7800, 0.7675, and lower, while resistance is seen at 0.8060 followed by 0.8160 and higher respectively.
Initiate long positions now, stop at 0.7850, a target at 0.8060.