AUDUSD may extend correction on completion of Doji reversal pattern
The Aussie dollar bounces on Monday after repeatedly failing to clear 0.7500 support (lows of 7/8/11 Dec).
Support is reinforced by bull-trendline, drawn off 0.6825 (15 Jan 2016 low) which currently lies at 0.7480.
Fresh rally is forming Doji reversal pattern on daily chart, which requires confirmation on firm break above 0.7550/64 pivots (Fibo 38.2% of 0.7631/0.7499 downleg / falling 10SMA).
Strongly oversold slow stochastic on daily chart signals corrective action which could extend on lift above 0.7550/64 triggers.
Overall structure remains firmly bearish and favors fresh downside after correction, which should not exceed 0.7580 (20 SMA) to keep bearish setup intact.
However, sustained break below 0.7500 zone is needed to spark extension of larger downtrend from 0.8124 (08 Sep peak).
Meanwhile, the pair may hold in extended consolidation while trendline support holds.
Upper trigger lies at 0.7653 (05 Dec high) and only clear break here would signal stronger recovery.
Res: 0.7550; 0.7580; 0.7600; 0.7653
Sup: 0.7500; 0.7480; 0.7370; 0.7328