Forex4you Technical Analysis 8 July 2011

AUD/USD: rallying again
The head and shoulders failed and a covering rally has brought the exchange rate higher again. Now there is a strong green daily candle with bullish connotations and the breakout from the wedge pattern is in full flow with an upside target of 1.1094. The point and figure counts are 1.0960 and 1.2150. There is a monthly pivot at 1.1012 and the former highs at 1.1011, so the 1.1000 mark may be a key level to watch on the upside. Resistance from former highs at 1.0789 may stifle demand temporarily and push the pair back down to support at 1.0745 but once it gets going the rally should reach the 1.09/10 region in time.

Belajar Forex
Analysis by: Joaquin Monfort
Forex4you analyst

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