In AUD/USD, Commerzbank notes that it comes off the 55 day moving average at .9360 which is still expected to cap, together with the help of the .9374 August high, if reached at all that is.
“If not, the May peak at .9410 could be reached but we think this unlikely at present. Should the August lows at .9240/39 give way, the .9182/77 May low and 200 day moving average would be eyed,” CB argues.
“We also find the 55 week ma in this vicinity at .9215 and the 32.8% Fibonacci retracement at .9182. These represent major break down points and we suspect that they will hold the initial test. Longer term failure at .9182 will trigger the start of a move to .8891, the March low,” CB adds.
In line with this view, CB runs a short AUD/USD from 0.9360, targeting 0.9185, with a stop at 0.9440.
