Daily Forex Update: AUD/USD

The AUD/USD has transitioned out of the daily chart's uptrend and into a narrow, sideways range. This, in turn, has put the slightly longer-term 60- and 240-minute intraday time frames in a distribution market cycle, which means that the price action is moving sideways in a wide and volatile range. A shallow Falling Wedge Emerging Pattern has alerted on the 240-minute chart with a five-bar Autochartist Initial Trend reading. This reading points to a trending pattern that continues to develop within a non-trending market. In fact, because of the distance between the upper line at 0.8983 (A) and the lower line at 0.8835 (B), prices are likely to exhaust and reverse-this was demonstrated by the price action going into Monday's U.S. session close.