On the H4 chart AUDUSD made correction of recent gains. The test of support at 0.7600 was characterized by a strong response from demand side. Currently quotes are heading towards psychological resistance of 0.7700. Probably in this place we will see response of bears.

It is worth looking at a lower time frame chart. The H1 shows advantage of demand. You can see a strong impulse seting new higher highs. At present market have formed a flag formation. Breaking the top of the system will probably lead to acceleration and realization of measured movement, which is around 0.7700. Breaking down from the formation will likely lead to mounting supply pressure and test of support at 0.7600.

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