• AUD/ USD dipped below 0.500 level on Monday as stronger US dollar weighed Australian dollar despite upbeat Australian retail sales data.
• Dollar bounced back from multi week lows against the basket of currencies in a crucial week for the U.S. interest rate outlook.
• Australian retail sales exceeded expectations in October, driven by the impact of tax cuts on wages and an improved consumer sentiment.
.• Data from the Australian Bureau of Statistics (ABS) on Monday showed retail sales rose 0.6% in October from September.
• At GMT 04:34, The Australian dollar was down at 0.14% at $0.6499 .
• Immediate resistance is located at 0.6534(50%fib), any close above will push the pair towards 0.6581(61.8%fib).
• Support is seen at 0.6483(38.2%fib) and break below could take the pair towards 0.6422(23.6%fib).
Recommendation: Good to sell around 0.6510, with stop loss of 0.6580 and target price of 0.6450.
