AUDUSD broke out of the descending channel that started from May 2015 at 0.8162. Prices also broke above the kijun-sen line which was acting as a resistance level at 0.7098. The RSI has also turned bullish and has moved above 50. These are positive signals for the AUDUSD pair but are not sufficient to shift the bias. The near term bias is neutral as prices have been consolidating around the key 0.70 level. Prices would need to break above the September 18 high of 0.7278 in order to change the neutral bias.
In the bigger picture, AUDUSD has been in a downtrend since falling from 0.8162 last May. The Ichimoku cloud is falling as is the 200-day moving average. These support the underlying bearish market structure.
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