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Trendline Resistance Remains Intact

AUSSIE TECHS
  • RES 4: 0.7324 High Sep 21
  • RES 3: 0.7245 Trendline resistance drawn off the Sep 1 high
  • RES 2: 0.7235 High Sep 22
  • RES 1: 0.7209 High Oct 1 / 6
  • PRICE: 0.7160 @ 17:23 BST Oct 8
  • SUP 1: 0.7096 Low Oct 7
  • SUP 2: 0.7070 Low Sep 29
  • SUP 3: 0.7006 Low Sep 25 and the bear trigger
  • SUP 4: 0.6965 38.2% retracement of the Mar - Sep rally

The recent AUDUSD climb is still considered a correction and Tuesday's sell-off reinforces this outlook. The sell-off signalled the end of the correction and if correct, highlights risk for a move lower that would expose key support at 0.7006, Sep 25 low. Clearance of this support would confirm a resumption of the September downleg. Initial resistance is at 0.7209, Oct 1 and 6 high. Key trendline resistance drawn off the Sep 1 high intersects at 0.7245.

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