25 Aug 2015
AUD/USD: price action and downside wide open still - CB
FXStreet (Guatemala) - Karen Jones, chief analyst at Commerzbank noted the volatile conditions surrounding AUD/USD.
Key Quotes:
"AUD/USD has eroded the 14 year uptrend and the base of a 2 year channel at 0.7180/60."
"It has sold off to the 0.7095 78.6% retracement of the move from 2008 and the base of a channel measurement to 0.7055. We would allow for a near term rebound from here, however risk is on the downside and failure here would target 0.7000 then 0.6776 June 2004 low."
Rallies are expected to struggle at 0.7243/87 but will need to overcome the 0.7448 July 21 high and the 0.7476 55 day moving average to negate downside pressure.
Key Quotes:
"AUD/USD has eroded the 14 year uptrend and the base of a 2 year channel at 0.7180/60."
"It has sold off to the 0.7095 78.6% retracement of the move from 2008 and the base of a channel measurement to 0.7055. We would allow for a near term rebound from here, however risk is on the downside and failure here would target 0.7000 then 0.6776 June 2004 low."
Rallies are expected to struggle at 0.7243/87 but will need to overcome the 0.7448 July 21 high and the 0.7476 55 day moving average to negate downside pressure.