AUD/USD to suffer further weakness after rejection at the 0.7550 200-DMA – Commerzbank

AUD/USD has at last failed at the 200-day moving average (DMA) at 0.7550. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, expects the aussie to decline as low as 0.7171.

Above the 200-DMA lies the seven-month resistance line at 0.7605

“AUD/USD has finally failed at the 200-DMA at 0.7555, intraday Elliott wave counts have turned negative and we look for further weakness.” 

“Dips should find interim support at 0.7427 the 4th August high and this guards the 55-DMA at 0.7347 then base of the channel at 0.7233 and the 29th September low at 0.7171.”

“Above the 200-DMA lies the seven-month resistance line at 0.7605. We will need to regain this zone for further upside impetus.”