The AUD/USD pair is trading in the green at the time of writing. The Dollar Index remains under strong downside pressure, that's why the currency pair is still bullish. Techncially, the price action failed to confirm a corrective phase, so it could challenge the immediate resistance levels.
Today, the Aussie received a helping hand from the Australian Retail Sales indicator which reported a 1.8% growth versus the 0.9% growth expected. As you already know, the US JOLTS Job Openings, CB Consumer Confidence, and the HPI reported better than expected data but the USD is still bearish in the short term.
AUD/USD Correction Invalidated!
The AUD/USD pair registered a new fasle breakdown below the weekly pivot point of 0.7470 which represents static support. Now, it challenges the descending pitchfork's upper median line (uml). This line could represent a dynamic resistance.
0.7536 stands as static resistance. Technically, staying below the upper median line (uml), registering only false breakouts above this obstacle may signal a new sell-off. Still, a corrective phase, a larger downside movement could be activated only by a new lower low, if the rate drops and closes below 0.7456.
AUD/USD Outlook!
A valid breakout above 0.7536 may announce an upside continuation. On the other hand, staying within the descending pitchfork's body and making a new lower low, dropping and closing below 0.7456 could activate a corrective phase and could bring new short opportunities.
