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The AUD/USD has broken below the previous triangle, and now has broken below the next phase of support at the 0.98 handle. This is a hugely bearish sign, and should have longs covering their positions. However, it appears that .097 has held, and the bulls have drawn a line in the sand at that point.
Any break below that level would have to be considered a sell signal, and possibly long-term sell. That certainly opens the door below to 0.95, 0.90 and even further. As long as that level holds however, this pair has to be considered a buy with a bias towards range bound trading.
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More March 17, 2011 Technical Analysis:
