FxWirePro: AUD/USD Slips Below 0.78 Handle, Good to Go Short, Target 0.7690
- AUD/USD down from 10-month highs hit on Tuesday's trade as sentiment soured across markets as oil turned back in the negative territory.
- RBA Governor Glenn Stevens’ speech yesterday was globally focused and had no impact on the AUD.
- The major is likely to track risk sentiment and commodity prices as oil has clearly shaken off the Doha drop. A further rally in equities will be supportive of the AUD.
- On the Technical side, the pair has edged below the 0.78 handle (minor trendline support and psychological level) and is currently trading with a negative bias.
- 4H 10-SMA support at 0.7781 is holding on the downside, breaks below will accentuate downside.
- Pair finds next support at 0.7750 (5-DMA), 0.7745 (Apr 18th lows), and then 0.7680 (Apr 15th low, 4H 55EMA).
- On the upside, pair finds stiff resistance at 0.7830 (rising trendline), bearish invalidation only on breaks above.