- AUD/USD struggles to extend gains above 0.77 handle, Australia retail sales miss dents AUD.
- Data released earlier today showed Australia’s December retail sales m/m fell to -0.1 % (forecast 0.3 %) vs previous 0.1 %.
- Focus now on RBA policy meet, the central bank is likely to remain on hold, keeping the interest rate at a historic low of 1.50 percent despite ongoing global uncertainties.
- The pair still trades with a bullish bias. Technical indicators support upside.
- Breakout above 0.77 would see next major resistance at 0.7755 (trendline).
Support levels - 0.7644 (78.6% Fib), 0.7633 (5-DMA), 0.7577 (Feb 2 low)
Resistance levels - 0.77 (psychological level), 0.7718 (88.6% Fib), 0.7755 (trendline)
TIME TREND INDEX OB/OS INDEX
1H Neutral Neutral
4H Neutral Neutral
1D Bullish Overbought
1W Bullish Neutral
Call update: Our previous call (http://www.econotimes.com/FxWirePro-AUD-USD-breaks-major-trendline-resistance-at-07625-good-to-go-long-on-dips-521892) has hit TP1.
Recommendation: Book partial profits at highs, raise trailing stops to 0.7630, hold for upside.
