AUD/USD Price Analysis: Bulls target 0.7880 in price recovery

• AUD/USD bulls taking control above the hourly 21-moving average. 
• Bulls eye old support on the daily chart at 0.7880. 

We have a bullish chart pattern on the daily time frame. Bulls can turn to the hourly chart for a vantage point and an optimal entry. 

MACD is approaching positive territory and is therefore signalling a bullish environment for prospects of a deeper correction into the 0.78 area with a target point of 0.7880. 

The following illustrates where the opportunity lies for a 1: 2.4 risk to reward setup. 

Daily chart

As illustrated, the M-formation's neckline has a confluence with a 61.8% Fibonacci retracement level where the price would be expected to restest.

Hourly chart

The hourly conditions are bullish with MACD on the approach to positive territory and the price supported at old resistance and above the 21-moving average. 

In an additional analysis, we have a similar opportunity on AUD/CAD's consolidation, as illustrated in this week's, The Watchlist: GBP/JPY, EUR/USD, CHF/JPY and more setups in the making.

Prior analysis, AUD/CAD daily chart

Prior analysis, 1-hour chart

Live market, 1-hour chart