- AUD/USD rejected at session lows, edges higher from session lows at 0.7576.
- The major is trading in a 'Slopping Channel' pattern and finds strong support at channel base at 0.7575.
- Price action remains below daily cloud and major moving averages, breach at channel base will accentuate weakness.
- Technical indicators are bearish. Stochs are biased lower. RSI is below 50 and biased lower.
- We see -ve DMI crossover on +ve DMI which adds to the bearish bias. MACD shows a bearish crossover on signal line.
- Further, data released earlier today showed Australia's Q1 CPI disappoints, keeping rate hikes off table.
Support levels - 0.7575 (channel base), 0.7532 (Nov 21 low), 0.75
Resistance levels - 0.7637 (78.6% Fib), 0.7678 (5-DMA), 0.77, 0.7712 (21-EMA)
Call update: Our previous call (https://www.econotimes.com/FxWirePro-AUD-USD-rejected-at-major-resistance-at-07815-breaks-below-20-DMA-good-to-short-rallies-1265599) has hit all targets.
Recommendation: Watch out for break below channel base for further weakness.
FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at -97.3965 (Bearish), while Hourly USD Spot Index was at 70.0187 (Neutral) at 0425 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest.
