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AUD/USD had a very modest reaction to........>

AUSSIE
AUSSIE: AUD/USD had a very modest reaction to stronger than exp. AU retail sales
data, trading a mere 10 pips higher on the session at $0.7370 last, aided by
AUD/NZD consolidating above NZ$1.0900.
- The cross brushed off a softer than expected Chinese Caixin Services PMI
print.
- The pair trades around former key support ($0.7370). Daily momentum indicators
are starting to turn lower again, consistent with a resumption of the major
downtrend. The way has now been opened for a decline to test the major trendline
support at $0.7324. Intraday rebounds have remained limited by the 50%
retracement level of the previous decline, consistent with an impulsive
structure developing to the downside. A move above $0.7411 is now needed to
stabilise the technical picture.
- Participants look to next week's RBA MonPol decision & the release of the
latest SOMP.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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