Downside risks prevailed in the market on Thursday, thus allowing the Australian Dollar to decline about 41 base points against the US Dollar. The currency pair tested the lower boundary of an ascending channel pattern at 0.7064.
Everything being equal, it is likely that the currency exchange rate will continue its decline in a junior descending channel pattern during the following trading session.
The potential downside target for bearish traders will be near the monthly pivot point at 0.7005.
Moreover, technical indicators flash sell signals on the 4(H) and daily time frames chart.