AUDUSD – downside at risk as 200SMA caps
The Australian dollar holds in directionless mode after Thursday’s action ended in long-legged Doji and upside attempts being repeatedly capped by 200SMA (0.7697) which limited action of this week.
Overall picture remains negative and keeps risk on the downside as the pair is in consolidation phase (within 0.7625 and 0.7730) of larger downtrend from 0.8124 (08 Sep peak).
Sustained break above 200SMA would ease persisting downside risk and allow for fresh upticks towards key barrier at 0.7730 (consolidation top / falling 20SMA), break of which would generate stronger bullish signal.
Otherwise, near term focus is expected to remains at the downside, with firm break below 10SMA (0.7675) to re-expose temporary base at 0.7625 zone (reinforced by weekly 55SMA and Fibo 61.8% of 0.7328/0.8124 ascend).
Res: 0.7697; 0.7730; 0.7760; 0.7793
Sup: 0.7663; 0.7649; 0.7625; 0.7572