The commonality among currency pairs especially since Draghi cut Eonia is curves are fat fat in the middle and its driving all currency prices. Either ends are alright but its the fat middle driving the show and must normalize. See a commodity price, stock market price or other market price involved in this assessment, hope not cause it doesn’t exist, its found in currency prices only.
AUD/USD. Bottom. 0.7504. Big point breaks above, 0.7551, 0.7557, 0.7568, 0.7570, 0.7577. Pip range today 20 long term, 15 short term. The RBA is trying hard to hold AUD/USD down. The top is miles away and AUD sits on the floor. Caution shorts. Tops are found at 0.7609, 0.7597, 0.7579. All points are not targets today yet, but watch these points if fireworks occur on Fed Minutes. They will result in terrific sell points.
Range points above 0.7566, 0.7695. Below 0.7516, 0.7466, 0.7315. Targets today 0.7582, Failure point 0.7569. Watch 0.7566 range point for additional sell point. Target met at 0.7582, sell to 0.7562. Target at 0.7555. Failure at 0.7566, sell to target 0.7554. Points on the way up, 0.7550, 0.7560, 0.7569, 0.7575, 0.7582.
Shorts below 0.7541, target 0.7522, then 0.7512, then bottom 0.7504. Points on the way down, 0.7539, 0.7536, 0.7532, 0.7527, 0.7515, then bottom 0.7504.
Brian Twomey, Inside the Currency Market, btwomey.com