Cup And Handle on the AUDUSD

There is an opportunity to trade on a potential bullish rebound on the AUDUSD. That is, if the price action manages to break out above the Handle and the 50-day MA (in green).

If it then manages to penetrate above the 23.6 per cent Fibonacci retracement level, the upswing is likely to head towards the 38.2 per cent Fibonacci at 0.75186, next.

Keep in mind that the 100-day MA (in blue) is currently converging with the 23.6 per cent Fibonacci, which could initiate another bearish reversal.