AUD/USD: 200-DMA at 0.6800/0.6750 is crucial support zone – SocGen
|AUD/USD up move appears to have petered out. In the view of economists at Société Générale, the 200-Day Moving Average (DMA) at 0.6800/0.6750 is likely to provide support.
A large downside is not envisaged
“An initial pullback has brought the pair back towards the upper limit of November/December range. A large downside is not envisaged; the 200-DMA at 0.6800/0.6750 is a crucial support zone. Only if this gets violated, would there be a risk of a deeper pullback.”
“Defence of the MA is likely to result in a bounce towards recent peak of 0.7130/0.7170. Overcoming this would mean an extended uptrend.”
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