AUD/USD has struggled to break above the psychological 0.80 area for the last 3-months and the sharp decline seen in recent sessions makes investors believe that a strong top is now in place. In near-term, a break below 0.7700 would place year-to-date longs underwater, and likely trigger further position liquidation toward 13 Nov low at 0.7610. A longer term bullish outcome is still possible if 0.7700 holds as support. The 2 Mar low at 0.7810 is resistance although price is unlikely to come close to this level in the near term, if it manages to break through, will target the 28 Feb high of 0.7895.
Trends:
Primary Tendency
The primary tendency remains bullish, started from Mar 06 with low at 0.7015 and high at 0.7980 in Jan 07.
Secondry Tendency
The pair has been trading in the range between 0.7700 and 0.7950.
Minor Tendency
Minor bearish trend started on 27 Feb with high at 0.7945.
Technical levels:
Resistance:
0.7895
0.7810
Support:
0.7700
0.7610