Still risk of a $AUDUSD February top and bear shift through .8875 A better bounce than expected to start the week, but leaving a still defensive bias
Still risk of a $AUDUSD February top and bear shift through .8875
A better bounce than expected to start the week, but leaving a still defensive bias after the notable Thursday slide through the 13-day EMA.
Furthermore, whilst capped by key resistance at .9080/90 and given the bearish outside pattern back from here last Tuesday, we see the bias for a late Feb top.
We still see risk lower to chart support at .8925 into midweek, then a key prop at .8875.
WHAT CHANGES THIS?
Downside: Through .8875 aims for .8695 and potentially below the .8660 cycle low to the 50% retrace of the 2008-11 rally at .8545
Upside: Above .9080/90 signals a more bullish tone to target .9165/75 peaks and the 200-DMA, currently .9199.
