Australian Dollar 9530 and 9400 are Objectives if Lows Give
300 Minute Bars
Prepared by Jamie Saettele, CMT
AUDUSD moves since the low (9620) are in 3 waves, which is suggestive of a triangle pattern or flat. In the case of a triangle, the recent range would tighten before price breaks to a new low. Bearish objectives remain the November 2010 low at 9534 and the 2009-2010 double top at 9400. This larger bearish count is valid against 9985. Resistance is 9810 and 9880. An outside possibility is that the decline from 9985 composes a truncated 5th wave (which would mean a low is in place). Trading gets tricky towards the end of patterns and I prefer that the market show stronger evidence that a low is in before adopting an outright bullish bias. It is worth noting that price is resting on the trendline that extends off of the 2008 and 2010 lows.
Trend Strength (M,W,D) – 1, (2), (1)
Jamie Saettele publishes Daily Technicals every weekday morning, COT analysis (published Monday), technical analysis of currency crosseson Wednesday and Friday (Euro and Yen crosses), and intraday trading strategy as market action dictates at the DailyFX Forex Stream. A graduate of Bucknell University, he holds the Chartered Market Technician (CMT) designation from the Market Technician Association. He is the author of Sentiment in the Forex Market. Send requests to receive his reports via email to firstname.lastname@example.org and follow hom on Twitter @JamieSaettele.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.