AUD/USD: The Short-Term Double-Top Calls for Further Weakness
AUD/USD has broken its support at 0.9058, after failing to decisively break the resistance at 0.9221. The implied short-term double-top calls for further weakness towards 0.8895. An hourly support lies at 0.8920 (07/08/2013 low). Hourly resistances can be found at 0.9058 (intraday high) and 0.9103 (19/08/2013 low).
In the longer-term, the break of the strong support at 0.9388 (04/10/2011 low) opens the way for a further medium-term decline. However, we keep in mind that if the current recovery phase were to gain traction and decisively break the key resistance at 0.9345, we would have to reassess our outlook. Other resistances are at 0.9500 (psychological level) and 0.9666 (14/06/2013 high).