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Bearish Focus

AUDUSD TECHS
  • RES 4: 0.7371 High Nov 15
  • RES 3: 0.7277/7314 High Jan 20 / High Jan 13
  • RES 2: 0.7219 50-day EMA
  • RES 1: 0.7188 High Jan 24
  • PRICE: 0.7109 @ 20:36 GMT Jan 26
  • SUP 1: 0.7091/82 Low Jan 24 / Low Dec 20 and a key support
  • SUP 2: 0.7069 76.4% retracement of the Dec 3 - Jan 13 upleg
  • SUP 3: 0.6993/91 Low Dec 3 / Low Nov 2, 2020 and key support
  • SUP 4: 0.6963 Low Jul 16, 2020

AUDUSD traded sharply lower Monday resulting in a break of support at 0.7130, Jan 7 low. The recent failure to remain above the 50-day EMA and the subsequent sharp sell-off strengthens the case for bears and signals potential for a deeper pullback. This has exposed 0.7082, the Dec 20 low and 0.6993 further out, Dec 3 low. Monday’s intraday high of 0.7188, marks initial resistance.

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