- AUD/USD faltered at 110-EMA, has slipped below 21-EMA at 0.7581, trades below 0.76 handle.
- Technical studies are turning bearish. RSI is biased lower and Stochs have rolled over from near overbought levels.
- MACD line is on verge of a bearish crossover on signal line and we see -ve DMI dominance.
- Further we evidence a bearish divergence on Stochs which adds further bearish bias.
- The major closed below 21-EMA support on Tuesday's trade raising scope for further weakness.
Economic Data/Events of relevance are as follows:
- FOMC meeting later today.
- Australia May employment report due Thursday.
Support levels - 0.7581 (21-EMA), 0.7476 (May 30 low), 0.7412 (May 9 low)
Resistance levels - 0.76, 0.7628 (5-DMA), 0.7672 (110-EMA)
Recommendation: Good to go short on upticks around 0.7570, SL: 0.7625, TP: 0.7520/ 0.75/ 0.7475
FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at -59.1614 (Neutral), while Hourly USD Spot Index was at 124.931 (Bullish) at 0445 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
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