26 May 2014
AUD/USD a potential top in formation? – Commerzbank
FXStreet (Edinburgh) - The recent price action in the AUD/USD would suggest the likeliness of a top being formed, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank.
Key Quotes
“AUD/USD at the end of last week sold off to and held the initial test of the .9203 recent low, however the market is increasingly viewed as a potential top”.
“A close below here will confirm that view and trigger losses to the .9155 then .9060 levels”.
“Rallies are likely to now remain capped by the 20 day ma at .9306 and while below here remains offered. Above here would suggest another run up towards the .9390 resistance line and the current May high at .9409, where we would again prepare for failure”.
Key Quotes
“AUD/USD at the end of last week sold off to and held the initial test of the .9203 recent low, however the market is increasingly viewed as a potential top”.
“A close below here will confirm that view and trigger losses to the .9155 then .9060 levels”.
“Rallies are likely to now remain capped by the 20 day ma at .9306 and while below here remains offered. Above here would suggest another run up towards the .9390 resistance line and the current May high at .9409, where we would again prepare for failure”.