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Resistance Remains Intact

AUDUSD TECHS
  • RES 4: 0.8007 High Feb 25 and the bull trigger
  • RES 3: 0.7883 High Feb 26
  • RES 2: 0.7838 High Mar 2 and 3 and key near-term resistance
  • RES 1: 0.7800 High Mar 12
  • PRICE: 0.7745 @ 16:29 GMT Mar 16
  • SUP 1: 0.7711/06 50-day EMA / Low Mar 15
  • SUP 2: 0.7621 Low Mar 9 and the bear trigger
  • SUP 3: 0.7583/64 Low Feb 5 / Low Feb 2
  • SUP 4: 0.7509 3.0% 10-dma envelope

Last week's AUDUSD gains stalled at 0.7800. The broader outlook is bearish following the sharp sell-off between Feb 29 - Mar 9. Furthermore, the breach on May 5 of 0.7693, Feb 26 low reinforces the current short-term bearish theme, signalling scope for weakness towards 0.7564, Feb 2 low. Firm short-term resistance has been defined at 0.7838, high Mar 2 and 3. A break would alter the picture, allowing for a stronger recovery.

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