AUDUSD Analysis – July 29, 2009

As expected, AUDUSD breaks above 0.8263 previous high resistance. Further rally to 0.8500 is still possible in next several days. Near term support is now at 0.8050, as long as this level holds, we would expect the uptrend from 0.7703 to continue. However, below this level will suggest that a cycle top has been formed on daily chart, then pullback towards 0.7703 support could be seen to follow.

For long term analysis, AUDUSD has formed a cycle bottom at 0.6008 (2008 low) level on monthly chart. Further rise to 0.8300-0.8500 area is still possible.

audusd daily chart