AUDUSD-The pair opened Thursday trading session lower breaking below its key supports at the 0.8943/04 level, its Nov 27’09/Nov 01’09 lows(The only risk to this will be a break back above its invalidated trendlineand then the 0.9404 level) and threatening further downside prices. If this strength is sustained, we could see AUDUSD weakening towards its psycho level at 0.8800 and then the 0.8567 level, its Oct 02’09 low. Its daily studies are bearish and trending lower supporting this view. In order for the pair to relief its present downside vulnerability, a break and hold above its YTD high residing at 0.9404 must be established to trigger the resumption of its medium term uptrend towards the 0.9592 level, its July 27’08 high and subsequently the 0.9790 level, its July 20’08 high.
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