AUD/USD SELL target is below 0.8591

Written by Jamie Saettele, Senior Currency Strategist

This is an update to yesterday's AUDUSD triangle trade idea. Risk can be minimized to .8865. The target is below .8591 (new low).

The sideways trading that has taken place for the last few days is most likely a 4th wave triangle (similar to the GBPUSD pattern) that will lead to a terminal thrust from the 5th wave that ends below .8590. The January low at .8512 is potential support.

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My position:

Short AUD/USD
sell @ 0.8699
target @ 0.8680
buying power : 4,410,000
target profits : 8379