AUDUSD Medium Term Outlook

Buyers emerged under 1.0178, week 23rd Jul low, and reversed all of the initial losses last week. However, this looks to be forming a bearish Head and Shoulders formation with the right shoulder situated at 1.0428. First support is seen at 1.0335 today (Fridays Marabuzo) but trading could be choppy this week until we meet this key target. We hold a mildly bullish stance but not enough to trigger an outright buy signal. We prefer to look for ‘shorts’ once the trend has been rejected. Please await a further update