• AUD/ USD dropped below 0.6500 level on Friday as escalating geopolitical tensions and stronger US dollar weighed on Australian dollar.
.• Russia launched a hypersonic missile at Dnipro on Thursday, after the U.S. and UK approved Kyiv's use of advanced Western weapons to strike Russian territory.
.• Dollar continued its upward march on uncertainty about the pace of rate cuts in the United State
•Meanwhile, Australia's manufacturing sector contracted for the 10th straight month in November, though the pace of decline eased to its slowest in six months. Meanwhile, services activity slipped into contraction for the first time in ten months.
• At (GMT 06:18) Aussia dollar was trading down 0.29% at $0.5490 against the U.S. dollar.
• Immediate resistance is located at 0.6526(38.2%fib), any close above will push the pair towards 0.6557(SMA 21).
• Support is seen at 0.6483 (Nov 20th) and break below could take the pair towards 0.6447(23.6%fib).
Recommendation: Good to sell around 0.6500, with stop loss of 0.6600 and target price of 0.6410.
