Aussie buoyed on robust Australia July AIG construction index data which rose to 60.5 from 56.0 in the previous month.
AUD/USD was up in the green after 4 successive sessions of downside, but was rejected at highs.
We see strong support at 0.79 levels (nearly converged 20-DMA and 23.6% Fib retrace of 0.7372 to 0.8065 rally).
Break below 0.79 could see drag lower. Scope then for test of 0.78 level (38.2% Fib).
On the upside, major resistance seen at weekly 200-SMA at 0.7992. Resumption of upside only on close above.
Support levels - 0.7875 (July 21 low), 0.7801 (38.2% Fib)
Resistance levels - 0.7949 (5-DMA), 0.7992 (weekly 200-SMA), 0.80
We see further downside only on break below 20-DMA. Stay short.
AUD/USD was up in the green after 4 successive sessions of downside, but was rejected at highs.
We see strong support at 0.79 levels (nearly converged 20-DMA and 23.6% Fib retrace of 0.7372 to 0.8065 rally).
Break below 0.79 could see drag lower. Scope then for test of 0.78 level (38.2% Fib).
On the upside, major resistance seen at weekly 200-SMA at 0.7992. Resumption of upside only on close above.
Support levels - 0.7875 (July 21 low), 0.7801 (38.2% Fib)
Resistance levels - 0.7949 (5-DMA), 0.7992 (weekly 200-SMA), 0.80
We see further downside only on break below 20-DMA. Stay short.
