Last month I wrote about the potential for a Bearish Halfway Hesitation and the threat of a Double Bottom in AUD/USD. As a consequence I had a question mark on the bullet point above. This time I have taken it off and unfortunately can’t show it well on the Daily Chart above but there was a Bearish Shooting Star Pattern on the Weekly Chart during the week of the 23rd while on the Monthly Chart we had to put it simply – a Key Reversal Down!
These plus all the downward pointing MAs have pushed the bullet point into a more bearish outlook. However, on the Daily Chart above we can also note some things – the recent action has left us with a key 50% Fib at 0.7734! Any consecutive closes over that and it would be time to reassess.
Therefore, support is at 0.7588, 0.7558 & 0.7531 near term. Beyond that it is at 0.7449, 0.735 & 0.7104 (dynamic).Resistance is at 0.7686, 0.77, 0.7734(key), 0.7782, 0.7823, 0.7913 & 0.7938.
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