FX.co ★ AUD/USD, Around The Trend Line November 26, 2010 (Daily Strategy)

AUD/USD

The Australian dollar – United States dollar pair is making great steps towards its secondary trend line that has accompanied it since early June, passing through the 0.9600 price level. Therefore, it will be possible to wait with the buy order until the level of 0.9600 is reached, in order to exploit the low price and strong support. The exit goal should be marked near the resistance level of 0.9960.

That said, we must prepare for a breach of the trend line in the case of a daily close under it. Such a move is expected to send the pair into a deep correction, which may reach all the way down to the level of the 200-day moving average on the pair at 0.9100. It is worth noting that the 0.9340 support level is a strategic goal for partial realization of the sell position, should such a breakthrough occur.