AUD/USD: 0.7150 is key support on a corrective move – FXStreet

By FXStreet FXStreet (Guatemala) – Valeria Bednarik, chief analyst at FXStreet explained that the Australian dollar holds to its recent strength, despite having eased some against the greenback this Wednesday, as the AUD/USD pair holds above the 0.7300 figure by the end of the day.

Key Quotes:

“During the previous Asian session, Australia released its GDP data for the third quarter, which resulted in a 0.9% growth compared to a previously revised 0.3% and expectations of 0.8%. The short term picture is mildly bearish, suggesting that the pair may correct lower before resuming its advance, as the price is holding below its 20 SMA while the technical indicators are heading lower around their mid-lines.

In the 4 hours chart, the technical indicators are heading slightly lower from overbought territory, but the 20 SMA maintains a strong upward slope well below the current level. The pair can decline down to 0.7200 in a corrective movement and recover afterwards, as only an extension below 0.7150 will confirm a bearish continuation during the upcoming sessions, quite unlikely at the time being.”
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Source:: FX Street