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Lucas: Why I expect the Aussie to go "even lower"

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London-based trader Steve Lucas is looking to sell the Aussie as he thinks it's going to "go even lower". He says the Reserve Bank of Australia has "made it clear" it wants a weaker currency.

From a technical point of view, he says since last week’s nine week high at .9439, the market has been posting lower daily highs. What's more, Steve says a sequence of higher weekly lows has also been broken.

He now expects "some buying" at these levels (being the 50 day average rate) but explains that daily signals continue to point lower.
As a result, Steve plans to sell modestly at market, then at .9367 - a recovery of 50 percent of Tuesday’s losses. He is going to place a stop .9405, Tuesday’s high, and his targets are .9258 - the 5th June low - and .9230, June’s base.