Overview and dynamics
The Australian currency remains under pressure from several fundamental factors. After the interest rate cut in Australia in early May, the pair broke the important support levels 0.7445 (23.6% Fibonacci level), 0.7400 (EMA200 on the daily chart) and lost more than 400 points. The downward dynamics of AUD/USD in this case remains.
However, near the level 0.7200 (the lower limit of the upward channel on the weekly chart), the pair found support, which is accompanied by strong data on GDP for the first quarter in Australia.
OsMA and Stochastic recommend selling on the weekly and 4-hour charts, but are reversive to short positions on the monthly chart. On the daily chart the indicators give signals for long positions. If tomorrow's labor market data in the US for May will be positive, AUD/USD pair will continue to decline, and the 0.7200 level may be broken. Otherwise, the correction growth of AUD/USD pair may continue to the levels 0.7370, 0.7400.
However, as long as the pair is below the level 0.7400, the downward dynamics remains. In case of breaking the support level 0.7140 (May lows), the pair will go to the levels 0.7100, 0.6975, 0.6910.
Only with the return above the level 0.7445 one should consider medium-term long positions.
Support levels: 0.7200, 0.7140, 0.7100, 0.7000
Resistance levels: 0.7260, 0.7290, 0.7370, 0.7400, 0.7445
Sell according to the market. Stop-Loss 0.7250. Take-Profit 0.7200, 0.7140, 0.7100, 0.7000
Buy Stop 0.7270. Stop-Loss 0.7220. Take-Profit 0.7300, 0.7370, 0.7400, 0.7445
The indicators crossed over to the buyers
In the downward channel