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AUD/USD Classical 05/10/2010
Written by article default Tuesday, 05 October 2010 09:46
AUD/USD: Rallies have stalled out for now just ahead of the critical multi-year highs from 2008 by 0.9850, and the market is in the process of rolling over from overbought. The latest setbacks have now broken back below some major rising trend-line support from August to warn that we could be in the process of carving out a material top. Also seen threatening the bullish structure is a potential bearish reversal week, with the break below 0.9560 to end a sequence of 5 consecutive weekly higher lows and 6 consecutive positive weekly closes. From here, there is certainly room for additional weakness at a minimum back towards the 0.9200 area. Back above 0.9700 would negate newly adopted bearish outlook and give reason for concern.
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