AUD/USD: New Lower High Likely in Place
AUD/USD is declining sharply, breaking the hourly support at 0.9271 (28/05/2014 high). As a result, a new lower high at 0.9329 has likely been posted, increasing the odds of a potential declining triangle formation. A test of the key support at 0.9206 is likely. Another support stands at 0.9155 (38.2% retracement of the rise from 0.8660). An initial resistance lies at 0.9276 (intraday low).
In the medium-term, the successful test of the key resistance at 0.9448 (20/11/2013 high) and the break of the rising trendline suggest the end of the phase of AUD appreciation. However, a break of the key support at 0.9155 (see the 38.2% retracement of the rise from 0.8660 and the 200 day moving average) is needed to confirm such scenario.