Hongkie Babe, an old friend of over 16 years since our London days, has kindly sent some charts over to share.
She is mean business, running a CNH, CNY portfolio, a certified CMT (Chartered Market Technician) and incidentally, quite a babe as well !
AUD/USD weekly chart looks like a wedge formation with bearish signals, the pattern is increasingly developing towards downside risk towards 0.97. We will know in the coming weeks.
USD is forming a strong base in the DXY, and there is room for further strength after a range bound stretch of 5 years since 2008.
The ADXY has failed to make a new top and has started to soften which bolsters the case for DXY as well. 115.00 is the critical level.