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8 Apr 2013
Forex Flash: AUD/USD potential upside ahead – Danske Bank
FXstreet.com (Barcelona) - Renewed buying interest has pushed the Aussie dollar to fresh intraday highs above 1.0420 on Monday, as risk appetite was taking over the market sentiment. The cross is thus recovering from overnight lows in the vicinity of 1.0350.
Analysts at Danske Bank suggest that the double top formation at the end of March/start of April around 1.0500 would trigger a correction higher in the next periods.
“Price congestion may persist in the short term but further weakness should be contained by strong support in the 1.0375/32 area… Clearing the 1.0497/98 highs will signal the resumption of the prior up-trend, opening the way for a return to the 2013 peak (10 January) at 1.0599, just ahead of the 14 September 2012 high at 1.0625”, concluded the experts.
Analysts at Danske Bank suggest that the double top formation at the end of March/start of April around 1.0500 would trigger a correction higher in the next periods.
“Price congestion may persist in the short term but further weakness should be contained by strong support in the 1.0375/32 area… Clearing the 1.0497/98 highs will signal the resumption of the prior up-trend, opening the way for a return to the 2013 peak (10 January) at 1.0599, just ahead of the 14 September 2012 high at 1.0625”, concluded the experts.