BUT (and you new there was going to be a but), my favorite confirmation of the Aussie Dollars move, the price of copper, is not confirming as the chart shows as it remains stalled in the 250 to 400 range. In the past when the copper contract has confirmed the move by breaking beyond resistance (or breaking through support), the Aussie dollar has continued higher. However, when the copper contract fails to breakout, the Aussie dollar rolls over and then collapses downward - 2008 was an example of such though it fell much further than I thought it would. Now the Aussie is on the move higher yet again and copper is sitting right at the same resistance levels that contained the contract in the past. A failure at the current levels would be very detrimental to the breakout in the Aussie leading to at least a correction to the bottom of the previous range around the 80 level.
So in short, I can project the levels that the Aussie can trade to but if the copper contract does not breakout to the upside, my stops will be on the other side of 95 looking for a very swift move toward the 80 level.
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