AUDUSD - Yesterday's Key Reversal Could Speak Volumes
- Key reversal day on highest volume day since June of 2013
- Traded down to under-side of multi-month channel support
- Inverse 'Head-and-shoulders' developing on the 4-hr
Yesterday’s key reversal day in AUDUSD on massive volume has brought into question whether it has found some type of bottom or not. The low of yesterday came at the under-side of a multi-month channel, and dialing in a bit closer (4-hr time-frame) we can see an inverse ‘Head-and-shoulders’ pattern under development. Recently, I have held a bearish stance on AUD through cross pairs, so I will be carefully monitoring this situation as it develops. On a break of yesterday’s high (7852), the next area of significant resistance comes in between 8000-8100 (Pivot low last month/upper-channel line).
AUDUSD Daily/4-hr: Jul ’14 – Present
--- Written by Paul Robinson, DailyFX Research
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.