17 Jan 2014
Flash: AUD/USD, it takes break below 0.8670 to target 0.8550 - Societe Generale
FXstreet.com (Bali) - AUD/USD technicals were damaged on the break of 0.8820/30 down through 0.88, with Societe Generale noting deeper falls are now expected.
Key Quotes
"It will take a break below 0.8670 to trigger a deeper correction towards 0.8550/0.85 and 0.8060 ultimately."
"AUD/USD is breaking below August 2013 low of 0.8850 which also happens to be the median line of a multiyear bullish channel drawn from 2001 low (dash blue)."
"The pair is currently developing the fifth wave of a five wave correction (Elliott) started in 2012. The projected targets define levels at 0.8670, 0.8550/8500 and 0.8060."
"Weekly chart exhibits a clear down sloping channel from mid 2011 with a lower limit standing at 0.8670. The correction from October 2013 high is also a five wave down move with the current
wave 5 expected to terminate around 0.8670."
Key Quotes
"It will take a break below 0.8670 to trigger a deeper correction towards 0.8550/0.85 and 0.8060 ultimately."
"AUD/USD is breaking below August 2013 low of 0.8850 which also happens to be the median line of a multiyear bullish channel drawn from 2001 low (dash blue)."
"The pair is currently developing the fifth wave of a five wave correction (Elliott) started in 2012. The projected targets define levels at 0.8670, 0.8550/8500 and 0.8060."
"Weekly chart exhibits a clear down sloping channel from mid 2011 with a lower limit standing at 0.8670. The correction from October 2013 high is also a five wave down move with the current
wave 5 expected to terminate around 0.8670."