Good to sell AUD/USD rallies, test of 0.7085 likely
Selling in the Aussie continues as commodities like crude oil resumed their price decline hurting commodity currencies.
Mood in Asia sours after USD/CNY fixed higher than expected - broadly underpinning USD/AXJ.
Upside in the pair is capped by Daily Tenkan at 0.7250, Aussie slips below 0.72 handle, was down at 0.7179, selling looks incomplete - fresh intraday lows made.
Daily RSI has hit 50 levels and turned lower, currently at 47.07, Stochs also point south, but have entered oversold territory.
AUD/USD is holding above daily cloud, breaks below cloud top at 0.07159 could drag the pair lower, tests of 0.7085 (trendline support) then likely.
Double bottom at 0.7160 is strong support on the downside ahead of 0.7157 (61.8 % Fib of 0.7016/0.7386).
Good to sell rallies in the pair around 0.72 levels, SL: 0.7250, TP1: 0.7160, TP2: 0.7085
Mood in Asia sours after USD/CNY fixed higher than expected - broadly underpinning USD/AXJ.
Upside in the pair is capped by Daily Tenkan at 0.7250, Aussie slips below 0.72 handle, was down at 0.7179, selling looks incomplete - fresh intraday lows made.
Daily RSI has hit 50 levels and turned lower, currently at 47.07, Stochs also point south, but have entered oversold territory.
AUD/USD is holding above daily cloud, breaks below cloud top at 0.07159 could drag the pair lower, tests of 0.7085 (trendline support) then likely.
Double bottom at 0.7160 is strong support on the downside ahead of 0.7157 (61.8 % Fib of 0.7016/0.7386).
Good to sell rallies in the pair around 0.72 levels, SL: 0.7250, TP1: 0.7160, TP2: 0.7085
