FxWirePro: Poor Capex data weighs on the Aussie, good to sell AUD/USD rallies

Aussie bulls dented on the back of poor Capex data which came in well below expectations, leading to a  free fall over 30 pips in AUD/USD.

• Given the disappointing Australian capex in Q3, there is likely to be downside revisions in the days to come, which should be a negative input for the Australian Dollar.
   
• Price action has dipped back into the cloud, Daily Stochs show a bearish crossover at overbought levels, long upper wick forms on the daily candle
   
• Major resistance at 0.7250 had briefly given way,  pair set a new high but had edged lower and now trades at 0.7234, support on the filpside lies at 0.7224 (cloud top)

Recommendation: Good to sell rallies around 0.7250, SL: 0.73, TP: 0.7185
Resistance Levels:

R1: 0.7250 (Trendline)

R2: 0.7283 (Session high Nov 25)

R3: 0.7297 (Daily High Oct 23)

Support Levels:

S1: 0.7227 (Nov 25 low)

S2: 0.7224 (cloud top)

S3: 0.7167 (10 DMA)