The bears have continued to sell into 1:1 rallies several weeks with the most recent 1:1 (Blue) attracting plenty of selling interest early last week.
The most important level to keep a close eye on in this degree is the 1:1 (Yellow) that comes in at 0.7415, as long as the market stays below this level the current downtrend will remain intact and the bears in full control.
AUDUSD H4
Moving down to the 1 hour chart we can see that the market is currently hitting its head against an important 1:1 (Blue) and 38.2 Fibonacci level that are in close proximity.
If this level can continue to attract selling interest a test of the days low becomes a possibility. However, and break above this resistance zone will see some further short covering take place with the next resistance not seen until the 50 Fibonacci level at 0.7352.
AUDUSD H1
* A 1:1 refers to a current correction being equal in length to a prior correction
