Bears take a breather after RBA’s intervention but risk remains at the downside
The Aussie is consolidating after nearly 3% fall on Thursday that pushed the price to new 11-year low (0.6211), in the biggest one-day fall since 6 Feb 2019.
Easing of extreme risk aversion after the RBA intervened earlier today by injecting $8.8 billion gave Aussie bears a breather, but outlook remains negative, with consolidation and upticks seen as positioning for fresh weakness.
The pair is on track for the biggest weekly fall in four years that adds to negative outlook.
Bears are expected to remain intact while extended upticks hold below 0.64 barrier (near 38.2% of 0.6684/0.6211 bear-leg), while firm break here and extension above 0.6848 (daily Tenkan-sen) would put bears on hold and delay test of psychological 0.60 support (also 2008 low).
Res: 0.6325; 0.6400; 0.6448; 0.6480
Sup: 0.6262; 0.6211; 0.6150; 0.6100