AUD/USD Technical Technique: BEARISH
Aussie Greenback bounces after outsized drop vs USD, as anticipated
Sellers might watch for affirmation of exhaustion earlier than buying and selling
Close to-term resistance capped at zero.7170 and assist at zero.7054
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The Australian Greenback rebounded in opposition to its US counterpart from lows set within the wake of a dovish shift in RBA rhetoric, making good on indicators of ebbing draw back momentum recognized final week. Costs now face resistance within the zero.7142-70 space, with a every day shut above that originally exposing zero.7235.
Close to-term assist is within the zero.7054-76 area. A reversal that takes costs again by means of this barrier units the stage for a check of zero.6982, the January 2 backside. Taking out this barrier would lastly take costs out of the uneven vary containing them since early October, marking longer-term downtrend resumption.
Sellers seeking to set up or add to brief publicity might view the most recent bounce as a possibility as soon as indicators of topping start to emerge, hinting that the correction has run its course. That’s but to seem even in nearer-term positioning on the four-hour chart nonetheless, arguing for persistence till affirmation may be had.
AUD/USD TRADING RESOURCES
— Written by Ilya Spivak, Forex Strategist for DailyFX.com
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