Short Term Opportunities in Australian Dollar Crosses

[DailyFx]

AUDCAD
AUDJPY
AUDNZD




AUDCAD


Commentary - The decline from .9519 is a large correction and is unfolding as a zigzag. Wave A is from .9519 to .9020 and wave B is from .9020 to .9290. Wave C would equal wave A at .8789. The 61.8% fibo of .8123-.9518 is at .8656 and is potential support. Daily RSI made an extreme on 5/21. A new low following the recent consolidation would create bullish divergence.

Strategy - Current trend is down in wave C and we are looking for a low near .8656/.8789 to get longer term (multi-month) bullish against.
AUDJPY




Commentary - Short term, a choppy rally is unfolding from the 4/24 low of 97.44. This may be an ending diagonal and the well-defined channel (shown below) projects resistance near 101.30/40. There is potential for a top at this upper channel line but a reversal would not be confirmed until a break under channel support.

Strategy - Short term bullish against 99.15 and targeting 101.30


AUDNZD


Commentary - The AUDNZD remains rangebound within a triangle that has persisted for most of the year. Given that the preceding trend was down, probability favors a bearish break from the triangle. Potential support on a break is at the 78.6% of 1.0430-1.2493 at 1.0874 (just above the 2/10/2006 low of 1.0834). 1.1387 must hold in order for the triangle to remain intact
Strategy - Short term bearish against 1.1387 targeting 1.1000 and 1.0900.