FxWirePro: AUD/USD forms 'Shooting Star' at highs, good to go short on close below 20-DMA at 0.7432

• AUD/USD 'Shooting Star' formation at highs suggests recovery from the low of 0.7328 may have topped out.
   
• Decisive break below 20-DMA at 0.7432 could see resumption of downside.
   
• USD remains supported, with focus on the Fed minutes, which are widely expected to reinforce the market’s expectations for June tightening.
   
• The pace of construction work done in Australia during the March quarter of 2017 shrank and came in sharply below expectations.
   
• Also, ratings agency Moody’s has downgraded China’s long-term local currency and foreign currency issuer ratings to A1 from Aa3 and changed the outlook to Stable from Negative.
   
• All the above factors are negative for the pair and are likely to keep upside if any limited.

Support levels - 0.7432 (20-DMA), 0.7428 (23.6% Fibo 0.7749 to 0.7329 fall), 0.7355 (trendline)

Resistance levels - 0.7454 (5-DMA), 0.75 (psychological level), 0.7540 (200-DMA), 0.7588 (61.8% Fib)

Recommendation: Good to go short on close below 20-DMA at 0.7432, SL: 0.7490, TP: 0.74/ 0.7355/ 0.7330

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 92.7763 (Bullish), while Hourly USD Spot Index was at 56.4784 (Neutral) at 0514 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.