Aussie consolidates above multi-month low as bears eye key Fibo support
The Aussie consolidates above new 4 ½ month low at 0.6940, posted after Monday’s 0.7% fall, on fresh risk aversion, sparked by escalation of US/China trade conflict.
Bears are taking a breather as two sides agreed to keep talking, however, sentiment remains weak and sees risk of fresh weakness and attack at key Fibo support at 0.6931 (61.8% retracement of 0.6706/0.7295 ascend.
Recovery attempts were so far mild, despite indication from rallying momentum and oversold stochastic.
Initial resistance at 0.6971 (falling 5SMA) remains intact for now, with extended upticks expected to stay below pivotal barriers at 0.6989/0.7000 (falling 10SMA / psychological barrier) to keep bears in play.
Res: 0.6959; 0.6971; 0.6989; 0.7000
Sup: 0.6940; 0.6931; 0.6900; 0.6877