AUD/USD a bearish Butterfly completes at 0.6555

AUD/USD Basket - the basket has been moving higher in a mixed and volatile fashion. This is common in corrective formations. Resistance is located at 11.65. A Bat formation will not be completed until 10.00. I look for limited upside pressure.

DXY (USD Index) - bespoke support is located at 103.86. We have a 78.6% pullback level located at 103.87. I look for dips to be bought.

Correlation studies suggest selling into rallies in AUD/USD.

AUD/USD - the 8-hour chart highlights a breakout of the expanding wedge formation. This pattern has a measured move target of 0.6643. We have two potential cypher formations:

1. A butterfly will complete at 0.6382.

2. A crab formation will complete 0.6294.

The one-hour chart highlights the completion of a butterfly formation at 0.6555. Bespoke resistance is located at 0.6556. We have a supply zone from March 26 at 0.6556.

Conclusion: Although the immediate bias is mildly bullish, I look for rallies to be limited. The system trade setup is to sell at 0.6555.

Resistance: 0.6524 (swing high), 0.6555 (butterfly), 0.6556 (bespoke)

Support: 0.6480 (swing low), 0.6443 (measured move), 0.6294 (Crab)