• AUD/USD bears are in control but the bulls could be preparing to move in. 
• However, the price imbalance to the downside is compelling towards 0.6950. 

AUD/USD has been in the hands of the bears due to a strong US dollar and risk-off markets with Wall Street 5% down on the week. The price, however, is now entering a weekly demand area and there are prospects of a bullish correction. With that being said, there is a price imbalance on the daily chart that could be vulnerable, exposing 0.6950. 

AUD/USD weekly chart

The bulls could be about to move in from a weekly demand area following the completion of the W-formation and subsequent retest of the neckline, as illustrated in the above chart. 

AUD/USD daily chart

From a daily perspective, however, the price could be expected to revisit the neckline of the M-formation, in line with the weekly outlook. However, mitigation of a price inefficiency below could be on the cards as well: