AUD/USD Inside Day; New Low May Give Way to Recovery
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
-AUDUSD continues to break down following the completed head and shoulders top on 11/21. The objective from this pattern is .8802 (below the Aug low).
-Levels that may provide support however are a short term measured level at .8942, the 8/5 close at .8928 (day of the 2013 low), and the 8/30 close at .8899 (uncovered).
-.9089 is possible resistance. A drop to a new low could complete 5 waves down from the 12/2 high and give way to a recovery.
Trading Strategy: Stop has been tightened to .9150 and the target is .8910.
LEVELS: .8900 .8928 .9019 | .9089 .9145 .9203
--- Written by Jamie Saettele, CMT, Senior Technical Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.