AUD/USD: Approaching Its Previous Yearly Low at 0.8848
AUD/USD has breached its low at 0.8932 and has almost reached the downside risk at 0.8895 implied by the recent short-term double-top. A key support is given by the yearly low at 0.8848. Hourly resistances can be found at 0.8997 (intraday high, see also the short-term declining trendline) and 0.9070 (26/08/2013 high).
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, whose potential downside risk lies near the key support at 0.8067 (28/05/2010 low). However, we keep in mind that if the key resistance at 0.9345 were to be broken, we would have to reassess our outlook.