Australian Dollar vs US Dollar Breaks Down Rising Wedge Pattern

<p>AUD/USD (daily chart) as of November 15, 2012 has tentatively broken down below a large rising wedge pattern that has been in place since the […]</p>

AUD/USD (daily chart) as of November 15, 2012 has tentatively broken down below a large rising wedge pattern that has been in place since the October 1.0150 area low. This wedge breakdown occurs after price has for the past week been unable to breach the important 1.0450 resistance level to the upside, which was also the 61.8% Fibonacci retracement of the last major bearish run from the September 1.0600 area high down to the October 1.0150 area low. The breakdown has placed AUD/USD near both the 200-day moving average and the key 1.0300 level to the downside. In the event of a further breakdown below the 1.0300 area, price could move towards yet another downside re-test of the key 1.0150 price region, in which case it could be positioned for a possible run down towards parity (1.0000).

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