FxWirePro: AUD/USD on track to test 200-DMA at 0.7752, weakness could accentuate on break below

• AUD/USD downside holds just above 200-DMA at 0.7752, bias still bearish.
   
• The pair hit 5-week lows of 0.7759 before paring some losses to currently trade at 0.7772 levels.
   
• Price has broken support at 50% Fib at 0.7818 and is hovering around 100-DMA at 0.7771.
   
• RBA SOMP which trimmed near-term jobless rate forecast and left inflation forecasts little changed was largely ignored.
   
• Technical studies are highly bearish, RSI and Stochs sharply lower, ADX supports downtrend.
   
• Break below 200-DMA will find next major support at daily cloud at 0.7734. Below daily cloud price could test major trendline at 0.7550.

Support levels - 0.7752 (200-DMA), 0.7733 (Oct 6 low), 0.77

Resistance levels - 0.78, 0.7932 (5-DMA), 0.7893 (38.2% Fib retrace of 0.7501 to 0.8135 rally)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-Aussie-dumped-on-dismal-retail-sales-and-trade-data-AUD-USD-hits-4-week-low-of-07855-1134114) has almost hit all targets.

Recommendation: Book partial profits at lows. Trail stop loss to 0.7835, Watch out for break below 200-DMA for further weakness. Target 0.7735/ 0.77/ 0.7685.

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