AUD/USD – Bears Trying to Break Key Level
Shedding over 650 pips in the last two weeks and closing bearish for 14 of the last 17 days, the Aussie has been testing the .9600.9590 key level two times, and is about to do so for a third time. The rejections have been getting weaker each time it tests the level, which suggests that the bulls at this level are weakening. You will notice a price action squeeze is forming in the chart below, which suggests further downside is likely.
Bears can look for pullbacks towards the .9716 and .9815 levels to sell on pullbacks. But if the pair does not offer a pullback, then look for a breakout setup on the intra-day 1hr charts or below, should it clear the key support.
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