AUD/USD: trade idea
Authored by Kira Iukhtenko
Australian dollar is trading in the red around $0.9270, following a sharp 90-pips drop from $0.9380 yesterday. Aussie is testing the lower border of the downward channel established on April 10.
In our view, the pair is forming a kind of a short-term top at $0.9460 (bottom of the weekly bearish Cloud). AUD has already retraced almost 23.6% Fibo from the January-April bullish rebound. The H4 Ichimoku Cloud turned bearish.
Aussie remains vulnerable for a deeper selloff. Break below $0.9260 will trigger further AUD losses.
Sell AUD/USD from $0.9260 with a target of $0.9210 and a stop at $0.9290
Chart. H4 AUD/USD