The aussie is still moving in the sideways direction – consolidation is in full play on 4-hour graphs. All Indicator lines directed horizontally are showing sideways movement (1, 2, 3, 4), as well as the Chinkou Span located above the price graph while the character of the Ichimoku Cloud is upside. Besides, short term situation is affected by the Dead Cross (5) formed by the Tenkan-sen and the Kijun-sen. Therefore, in the nearest time further attacks of the bears and a decline inside the Cloud should be expected if the Chinkou Span A cannot provide support for the market.
On 1-hour graphs the situation can turn to bearish in the nearest future. During yesterday’s decline the Senkou Span A (1) continued to fall down and narrow the range of the Cloud; at the moment the Senkou Span A and B (1, 2) are in immediate proximity. If another attempt of decline below the Senkou Span B is made, the character of the Cloud will switch to downside. Therefore, given the Dead Cross (5) formed by the Tenkan-sen and the Kijun-sen in the morning, we can suppose that the sellers will keep their positions on the market. However, another scenario is possible: if the market will overcome the horizontal Kijun-sen during next several hours, another attempt to recover to the 1.0200 level is possible.
