AUD/USD still negative below 0.7348 – Commerzbank

The stance around AUD/USD remains negative while below 0.7348, suggested Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“AUD/USD’s rally higher has reached the accelerated downtrend at 0.7348 - while capped here, a negative bias will remain intact. Please note however that the intraday Elliott wave count is conflicting and implying a deeper recovery to the .7580 zone, should the downtrend be eroded. But even this move will remain within the realms of a correction only”.

“We view AUD/USD as having topped longer term and maintain a bearish bias. Below 0.7146, we eventually expect it to slide back to the .6828 January low”.