• AUD/USD was pinned near multi-month lows on Monday after comments by Federal Reserve last week reinforced expectations of a US interest rate hike as early as June.
     
  • Investors remained cautious ahead of busy week in Australia with gross domestic product, retail sales, and trade data due for release.
     
  • Currently the currency pair is trading around 0.7183 levels, it is set to decline further towards 0.7140 and later towards 0.7100 levels in the short term.
     
  • Strong support can be seen at 0.7143, a break below this level will expose the pair towards next support level located at 0.7080.
     
  • Major resistance can be seen at 0.7242, a break above this level will open the gates towards 0.7300 levels.

    Resistance Levels

    R1: 0.7193 (50% Retracement Level)

    R2: 0.7242 (61.8% Retracement Level)

    R3: 0.7300 (Psychological levels)

    Support Levels

    S1: 0.7143 (38.2 % Retracement Level)

    S2: 0.7080 (23.6 % Retracement Level)

    S3: 0.6981 (Feb 11th lows)

The material has been provided by InstaForex Company – www.instaforex.com