AUDUSD – Short term bulls need to hold the 1.0100/0.9970 support
A larger corrective downtrend started from 1.1085 (July’11 high) appears to be still in force for AUDUSD but we could not confirm whether it is a triangle range consolidation (1.0855 - 0.9580) or a double zigzag corrective swing, which allows for a retest of the Oct’11 swing low at 0.9390 on multimonth basis. A break below 0.9580/0.9390 targets Fib. target at 0.9145 next.
A near term high has been in place at 1.0445. The pullback needs to hold above the 1.0100/0.9975 support to maintain bullish bias. A reversal below however would expose the 0.9820/0.9580 support. A break above 1.0445 extends the recovery toward 1.0600/1.0725.