AUDUSD – Trapped in a multi week range trade?
A larger corrective downtrend started from 1.1085 (July’11 high), appears to be still in force for AUDUSD which may be a large triangle consolidation in a range between 1.0860 and 0.9580 ( Alt- double zigzag corrective swing,
which allows for a retest of the Oct’11 swing low at 0.9390 on multimonth basis). A break below 0.9580/0.9390 deepens the correction toward 0.9145. A break above 1.0860 would expose the 1.1000/1.1085 resistance in a complex wave B.
The resistance area around 1.0600 has proved tough again and the pair appears to be trapped in a multi week range trade. Downside focus is now on 1.0320. A break below could target 1.0250/1.0165. Bulls need to overcome
the 1.0520/1.0625 resistance to renew the uptrend. A break below 1.0165 however extends the correction toward 1.0100/0.9975.
Anantharajan .P, CMT (Technical Strategist, Precise Trader)
