|0.7450||Minor||0.7335/30||Weekly cloud base/Friday low|
|0.7435||(23.6% of 7777/0.7330)||0.7300||Minor|
|0.7410/17||Weekly cloud top/Friday high||0.7288/84||(76.4% of 0.7144/0.7834)/16 June low|
|0.7400||Minor||0.7217||31 May low|
|0.7365||Minor||0.7200||(76.4% of 6006/1.1080)|
The Aud took another heavy hit on Friday, falling to 0.7330 where the weekly cloud base prevented further losses, under pressure from the rampant US$ as Aud/Usd yield spreads narrow, with little bounce seen into the end of the session.
With the momentum indicators still pointing lower, further downside pressure would seem to be in store in the days ahead, where a break of 0.7300 should find decent buyers at 0.7285, but below which there is little support to be seen until 0.0.7217 and below that, at 0.7200. I think we are probably heading there and eventually lower, where distant targets would be at the May low at 0.7145.
As with last week, selling into short term strength seems to be the plan, where minor resistance will now be seen at 0.7365 and 0.7400, with SL to be left above 0.7420, or 0.7435.
|24 Hour: Mildly bearish -Prefer to sell rallies.||
Medium Term: Bearish
Economic data highlights will include:
M: China Leading Economic Index
T: RBA Asst Governor Kent Speech
W: Construction Work Done
T: Press Conference