FxWirePro: Australia's Building Permits data knocks AUD lower, AUD/USD eyes trendline support at 0.7420

• AUD/USD was rejected at 23.6% Fib at 0.7583, failed to extend gains above, scope for downside resumption.
   
• Australian Building Permits data released earlier today failed to impress Aussie bulls, knock the antipodean lower.
   
• Building Permits contracted at -5.0%, steeper than the forecast -3.0% and compared to the previous reading of 2.6%.
   
• Stochs and RSI have turned bearish. MACD is on verge of a bearish crossover on signal line.
   
• The major is on track to test major trendline support at 0.7420. Violation there could see test of 0.7327 (61.8% Fib of 0.6827 to 0.8135 rally).
   
• On the flipside, we see strong resistance at 0.7583 (23.6% Fib of 0.8135 to 0.7412 fall). Upside only on break above.
   
• Focus on ADP Employment and US GDP which are key events likely to rock markets today.

Support levels - 0.7447 (May 15, 16 low), 0.7420 (trendline), 0.74, 0.7327 (61.8% Fib of 0.6827 to 0.8135 rally)

Resistance levels - 0.75, 0.7532 (5-DMA), 0.7583 (61.8% Fib)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-AUD-USD-rejected-at-236-Fib-slips-below-21-EMA-good-to-go-short-on-rallies-1335788) has hit TP1. 

Recommendation: Book partial profits at lows, trail SL to 0.7535. Target revised to 0.7450/ 0.7420/ 0.74

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