The Australian dollar was slightly bid in Asia on today, but quick fall on Monday’s low at 0.6913 (also broken Fibo 23.6% of 0.7068/0.6864).
Recovery from 0.6864 bases (lows of 17/23 May) showed initial signs of the stall on upside rejection on approach to key barriers at 0.6942/45 ( falling 20SMA), but slight bullish bias is expected to stay alive above pivotal supports at 0.6913 and 0.6900 (10SMA). North-heading momentum, the formation of 5/10SMA’s and thick hourly cloud underpin the action, but the prevailing trend is bearish and sentiment soured on expectations of an interest rate cut in RBA’s next week policy meeting. A sustained break above 0.6942/45 pivots is needed to signal further recovery, price action holds between 0.6900/45 range, while a break below 0.6900 handles will be bearish.