The Australian Dollar’s (AUD) double-top bearish reversal gets underway, OCBC FX strategists Frances Cheung and Christopher Wong note.
Further downside towards 0.6640 is possible
“Pair was last at 0.6715 levels. Bullish momentum on daily chart faded while RSI fell. Recent pullback may have found an interim support at 0.67 (21 DMA). Decisive break may open room for further downside towards 0.6640. Resistance at 0.6730, 0.6790.”
“2Q GDP released this morning was largely in line with estimates while services PMI held up. With domestic data out of the way. AUD should revert to taking cues from equity sentiments and USD moves in the coming sessions.”
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