AUD/USD rebounded strongly after monetary policy meeting earlier in Asian session. The pair hit daily high at 0.7296 levels and is retreating back from highs. The pair is expected to decline further towards 0.7250 and later 0.7200 levels in the short term, as the Aussie dollar is broadly weaker against US dollar in the short term.
- The resistance level at 0.7300 is likely to hold the Aussie bulls and push the pair downwards, therefore short rally near 0.7300 should be taken as advantage for selling opportunities.
- To the upside, the immediate resistance can be seen at0.7300, a break above this level would take the to towards 0.7338(Oct 16th high), to the downside, the major support level lies at 0.7228.
Recommendation: Go short below 0.7300, targets 0.7250, 0.7200, SL 0.7390
Resistance Levels
R1: 0.7300 (61.8% Retracement level)
R2: 0.7338 (Oct 16th high)
R3: 0.7385 (Oct 12th high)
Support Levels
S1: 0.7228 (50% Retracement level)
S2: 0.7198 (Oct 14 lows)
S3: 0.7157 (38.2% Retracement level)
