Or are usually reliable chart patterns working less reliably than in the past?
To be sure, charts are far from fool-proof but they tend to get it right more often than not. Lately though, major patterns in EUR/USD (a well-advertised head and shoulders that failed to pan out) and AUD have put a scare into technicians.
Overnight, AUD broke through support at 0.7863. breaking 0.7845 and 25 supports along the way and finally reaching 0.7790 only to turn tail and inexplicably rise back above 0.7900 a short while ago. Brutal. Just brutal. Typically, three layers of resistance (0.8825,45, 63) should have been enough to contain any short-covering rebound. Not today.
Call it another Turnaround Tuesday.
