AUDUSD Update May 2015 (D)

We are looking for a higher low to form before a massive bear rally unfolds. Let’s see where things currently stand using the daily chart.
 

AUDUSD DAILY CHART

 
We can see price has traded up to put in a new high since the last report. This is a higher high and we just await a higher low and then this rally can really get a wriggle on.
 
The PSAR indicator finally has a bearish bias after price busted the dots on the downside a couple of days ago.
 
The lower indicators, the RSI, Stochastic and MACD, all show a bearish divergence at the recent high while the latter two indicators have both just made a bearish crossover. So the likelihood is for lower prices going forward.
 
I am still looking for a deep retracement of the move up from low and favour the 88.6% Fibonacci level which stands at 76.04c. 
 
I have drawn a Fibonacci Fan and I expect the higher low to be around support from the 88.6% angle.
 
Finally, if price keeps on the same downward trajectory as it has been from the top then a low around the aforementioned levels is set to occur right at the end of May.
 
 

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Disclaimer

All information contained in this website is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors. Put simply, it is JUST MY OPINION.

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