- Renewed sell-off in commodities’ prices, particularly iron-ore weighs on Aussie.
- AUD/USD slumps to hit 7-month lows of 0.7197 overnight after breaching 88.6% Fib at 0.7217.
- Technical indicators are biased lower, RSI in oversold territory.
- The pair finds strong support at 0.7190, break below could see further drag.
- Support levels - 0.7190 (trendline), 0.7145 (May 24 low), 0.71
- Resistance levels - 0.7217 (88.6% Fib), 0.7232 (5-DMA), 0.7280 (78.6% Fib)
- Our previous call (http://www.econotimes.com/FxWirePro-AUD-USD-slips-below-073-handle-good-to-short-rallies-456738) has achieved all targets.
Recommendation: Good to sell rallies around 0.7210/15, SL: 0.7280, TP: 0.7190/ 0.7145/ 0.71
FxWirePro's Hourly AUD Spot Index was at -134.55 (Highly Bearish), while Hourly USD Spot Index was at -8.3618 (Neutral) at 0500 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
