AUDUSD – extended bears crack strong support zone between 0.7650 and 0.7626
The Aussie dollar remains under pressure on Monday and cracks 0.7640/50 base, which marks the upper boundary of key support zone, consisting of Fibo 38.2% of 0.6825/0.8135 recovery (0.7635) and longer-term bull-trendline, drawn of Jan 2016 low at 0.6826 (0.7626).
Bearish setup of daily techs and stronger US dollar, keep the Aussie under strong pressure, with firm break through pivotal 0.7650/26 zone expected to spark fresh extension of bear-leg from 0.8135 (2018 high) for test of 0.7500 (09 Dec) trough.
Oversold daily slow stochastic suggests that bears may show stronger hesitation at key 0.7650/26 support zone, awaiting release of Australian inflation data (due early Tue) for fresh signals.
Descending 20SMA (0.7710) is expected to cap extended upticks.
Res: 0.7682; 0.7710; 0.7724; 0.7740
Sup: 0.7635; 0.7626; 0.7600; 0.7535