AUD/USD Uncovered Close at .9241 is a Near Term Target

Jamie Saettele, CMT

Daily

eliottWaves_aud-usd_body_audusd.png, AUD/USD Uncovered Close at .9241 is a Near Term Target
eliottWaves_aud-usd_body_audusd.png, AUD/USD Uncovered Close at .9241 is a Near Term Target

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

Automate trades with Mirror Trader


-AUDUSD has followed through on the reversal that ended the week of 10/25. 10/23 was the day of the top and an outside day reversal formed that day.



-Bigger picture, the market broke from a symmetrical triangle the week that ended 5/17/2013. The recent top is just pips from that close level (with an outside day reversal on 10/23) and right at channel resistance.


-The rally from the June low forms 2 converging lines and can be called a pennant. These patterns are often seen in the early stages of large bear markets.


Trading Strategy: Currently short. Original stop was .9550. Stop has been lowered to .9475. .9190-.9300 could produce consolidation / corrective activity. The 9/13 uncovered close is at .9241 so target half at .9250.

AUDJPY and EURAUD are also in play.


LEVELS: .9222 .9243 .9287 | .9389 .9420 .9468

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.