The corrective downside in AUD/USD is seen facing a solid support around 0.7625 in the next weeks.
Key Quotes
24-hour view: “The sharp plunge in AUD to an overnight low of 0.7646 came as a surprise. The rapid decline is deeply oversold and while AUD could weaken further, it is unlikely to threaten the next support at 0.7625. Resistance is at 0.7680 followed by 0.7705.”
Next 1-3 weeks: “We have expected AUD to consolidate for about 2 weeks now. We did not anticipate the sudden lurch lower yesterday that sent AUD plunging to 0.7646. The rapid increase in downward momentum suggests AUD could weaken further. The next support is at 0.7625 followed by a rather solid level at 0.7595. The downside risk is deemed intact as long as AUD does not move above the strong resistance level at 0.7730.”