We’ve already had a false break of either edge of the range and have now powered through the midpoint or ‘Point of Control’ of the structure (Slipstream Trader members will know what I’m referring to here).
The short term trend has also turned up so there’s a chance now that the AUD is on the verge of heading for another leg up. The points to be wary of on the way up would be around 95.5c which is 50% outside of the current range and is an area where it could fall over.
If it can burst through there the next stop is the 2008 high of 98.5c and then parity.
All bets are off if we see a sell off beneath the recent low of 87.3c. This would confirm the failure of the last four months distribution and we could see a more sustained selloff if this were to occur.
