FxWirePro: AUD/ USD short had control, kept it after Australian inflation data

• AUD/USD eased slightly to trade around  0.6543   as   investors digested Australian  inflation figures.

•   Australian data showed consumer prices rose 0.2% in the third quarter, a little lower than expected, bringing annual inflation down to a 3-1/2-year low of 2.8% and back in    RBA’s2%-3% target band.

• Headline inflation fell due to government cost-of-living subsidies and lower petrol prices, though services inflation remains stubbornly high..

•Technical signals are  strongly bearish as RSI is   at 43, daily momentum studies  5, 9 and 10 DMAs are trending down.

• Immediate resistance is located at 0.6573(Daily high), any close above will push the pair towards 0.6618(38.2%fib).

• Support is seen at 0.6535(23.6%fib) and break below could take the pair towards 0.6500 (Psychological level).

 Recommendation: Good to sell around 0.6550, with stop loss of 0.6630 and target price of 0.6450