AUDUSD-With a second-day of strength now underway, AUDUSD could be shaping up for a retest of the 0.8904 level, its Nov 01’09 low. This is expected to reverse roles and provide resistance thereby turning the pair lower again. However, if a trade above there occurs, a run at the 0.8943 level, its Nov 27’09 low should follow with a turn above there setting the pair up for additional upside towards its Dec 14’09 high at 0.9173. Beyond there will clear the way for a move towards the 0.9321 level and then its YTD high at 0.9404. Its daily RSI is supportive of this view. On the downside, the 0.8733 level, its Dec 23,09 low comes in as the initial support ahead of its Oct 05’09 low at 0.8676. Further down, the 0.8567 level, its Oct 02’09 low is seen as the next support followed by its Aug 14’09 high at 0.8476.
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