Friday, August 2, 2013

Australian Dollar Breaks Key Long-Term Support

For the last two years, the Australian dollar ETF has been trading in a range between 92 and 106.  However, since the early spring it has clearly been in a bear market, continually dropping sharply week after week.  Now prices are below he 200 week EMA, and the price move is pulling the shorter EMAs lower.  Momentum is clearly negative and money is flowing out.