- AUD/USD slumps over 60 pips on surprise Australian CPI inflation numbers which came lower across the board
- Australia’s Q3 CPI q/q came in at 0.5%, below forecasts of 0.6%, y/y was also below expectations at 1.5% vs 1.7% expected
- Data now increases chances of RBA easing in November, weighing futher on the Aussie
- Daily momentum is bearish, close below cloud could accentuate downside, pair could test 0.7041 levels
- Next immediate support at 0.7067 (Oct 6 lows) and then below at 0.7041 (Oct 5 lows)
- Resistance on the topside is at 0.72 and further ahead at 0.7227 (10 DMA)
Recommendation: Good to sell rallies around 0.7130, SL: 0.72, TP: 0.7045
The material has been provided by InstaForex Company – www.instaforex.com