21 Jan 2014
Flash: AUD/USD RSI divergence allowing for small rebound - Commerzbank
FXstreet.com (Barcelona) - Karen Jones, Head of Technical Analysis at Commerzbank notes that AUD/USD’s low at 0.8758 has been accompanied by a divergence of the daily RSI which reflects a loss of downside momentum and could allow for the possibility of a corrective rebound.
Key Quotes
“Intraday rallies are now indicated to terminate at .8835/85 and should be contained by 0.8925. While capped here the market will remain directly offered.”
“The market has come under increasing downside pressure following its recent failure at the 50 day ma, this is currently located at 0.9035.”
“We have drawn a resistance line from the October peak and will consider that the market remains directly offered below here (0.9016). Initial downside target is the base of its 3 year channel at 0.8706.”
Key Quotes
“Intraday rallies are now indicated to terminate at .8835/85 and should be contained by 0.8925. While capped here the market will remain directly offered.”
“The market has come under increasing downside pressure following its recent failure at the 50 day ma, this is currently located at 0.9035.”
“We have drawn a resistance line from the October peak and will consider that the market remains directly offered below here (0.9016). Initial downside target is the base of its 3 year channel at 0.8706.”