AUDUSD: Looking to Sell on Channel Breakout
Strategy: Pending Short
Prices are testing support at 1.0443, the July 19 high, with a break lower from here exposing the bottom of a rising channel set from early June (now at 1.0385). Near-term resistance is at the 1.05 figure, with a push back above that targeting a long-term falling trend line set late July 2011, now at 1.0602. We will look for confirmation on a close below the channel bottom to actively position for a short entry, though we remain short AUDCAD.
Daily Chart - Created Using FXCM Marketscope 2.0
Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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