Daily Bars

eliottWaves_aud-usd_body_audusd.png, FOREX Technical Analysis: AUD/USD Plunges Through 1/18 Low

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

FOREXAnalysis: AUDUSD triangles have formed from the July 2011 high (price is above that triangle line now) and the September 2012 high. I wrote yesterday that “predicting the direction of the break is never a good idea but the latest pivot low can be used as a point of reference. In other words, stay bullish for an upside break as long as price is above 10485.” What happened today exemplifies why anticipating the break is a bad idea. 10485 even failed and price is nearing the 61.8% retracement of the rally from December at 10441. Watch the line that extends off of the October and December lows for support as well.

FOREXTrading Strategy: Flat

LEVELS: 10344 10392 10440 10474 10509 10543