AUD/USD: testing major downside level

By FXStreet FXStreet (Guatemala) – AUD/USD is currently trading with a high of 0.7216 in the Asian session and a low of 0.7204.

AUD/USD has been subdued in a minor drift to the downside since losing its footing yesterday through the 50 SMA at 0.7250 currently on the hourly chart. We are now consolidating just shy of the 0.7200 level that has been a pinnacle area since late July of 2015 acting as support and resistance in minor recoveries of the broader bearish trend.

With a lack of drivers around, markets were hoping something relative to rhyme or reason to buy or sell might come out of RBA’s Edey’s speech. Edey is the assistant governor of the financial System of the RBA but unfortunately there was very little on the economy and no market reaction as we await something that might come of the press conference.

AUD/USD levels

Technically, the key levels are still with the 0.7385 Fibo retracement that guards the 0.7367 2014-2015 downtrend and the August high at 0.7439. On the downside, 0.7200 is a key psychological level of support and a final break and daily closes below could enforce a continuation of the broader bearish trend.
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Source:: FX Street