Yes, the pair is still in an uptrend but price has been contained since November in a sideways correction. It's lingering at the top of the rectangle and this is often a sign that the break will be upward. However it absolutely must clear the April 11 high of .9383 and then the November high of .9406. Otherwise, if it begins to drift downwards again, one could begin to build a case that the trend that began in October, 2008 might be reversing or, at the least, price is retargeting the bottom of the rectangle at .8578/.8613. That would make a lot of AUDUSD bulls unhappy. On a much more short-term basis, i.e. hourly, support is at .9274.
If, on the other hand, the pair breaks upward of the rectangle, one could expect a solid move up to the July, 2008 high of .9851 and possibly beyond, to parity.
Here's the weekly chart:
© Dianne Fecteau, 2010. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.
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