Chart - Courtesy Trading View
Spot Analysis:
AUD/USD was trading 0.15% lower on the day at 0.7161 at around 06:05 GMT
Previous Week's High/ Low: 0.7166/ 0.7035
Previous Session's High/ Low: 0.7230/ 0.7155
Fundamental Overview:
Firmer Aussie trade numbers fails to cheer Aussie bulls, risk aversion keeps the bias bearish.
Growing fears of global recession joined the hawkish central bank chatters to weigh on market sentiment.
Australia’s Trade Balance rose to 10,495M versus 9,300M market forecasts and 9,314M prior.
Further details of the report showed the Exports grew to 1% versus 0% previous readings while the Imports eased from -5.0% to -1.0%.
Technical Analysis:
- 'Death Cross' (bearish 50-DMA crossover on 200-DMA) confirmed on daily charts
- 'Gravestone Doji' formation on the daily charts caps upside, adds to the bearish bias
- RSI has turned flat and Stochs are on verge of bearish rollover from overbought levels
- Price is approaching 200H MA support at 0.7132, break below will drag the pair lower
Major Support and Resistance Levels:
Support - 0.7138 (200-week MA), 0.7114 (21-EMA), 0.7048 (20-DMA)
Resistance - 0.7174 (55-EMA), 0.7220 (110-EMA), 0.7230 (50-DMA)
Summary: AUD/USD fail to cheer upbeat Aussie data. Technical analysis hints at the underlying weakness in momentum. Retrace below 200-week MA will plummet prices.


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