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Shooting Star Reversal

AUDUSD TECHS
  • RES 4: 0.7776 High Jun 11 2021
  • RES 3: 0.7762 76.4% retracement of the Feb ‘21 - Jan ‘22 downleg
  • RES 2: 0.7716 High Jun 16 2021
  • RES 1: 0.7661/65 High Apr 5 / 2.0% 10-dma envelope
  • PRICE: 0.7472 @ 16:51 BST Apr 7
  • SUP 1: 0.7467/47 Low Apr 7 / 20-day EMA
  • SUP 2: 0.7376 Low Mar 22
  • SUP 3: 0.7346 50-day EMA
  • SUP 4: 0.7283 Low Mar 17

AUDUSD gains have found resistance at 0.7661, Apr 5 high. The continued move lower highlights a short-term bearish threat and suggests potential for a correction. Note that Tuesday’s session isa bearish candle reversal pattern - a shooting star - and Wednesday’s weakness reinforces this pattern. A continuation lower would open 0.7447, the 20-day EMA. This average marks the next key support. Key resistance is at 0.7661.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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