AUD/USD in the brink of collapse below 0.85

FXStreet (Bali) - AUD/USD keeps pressing towards its bear trend low at 0.8480, last at 0.8494, after being unable to sustain the Capex-induced short squeeze seen on Thursday.

With recent AUD spikes courtesy of a Chinese rate cut last week and better-than-expected Capex figures, both proving short-lived, the leverages community will probably be salivating to reset shorts at the right levels as the perception of negative sentiment towards the AUD expands.

Technically, AUD/USD is the brink of collapse, with a break below 0.8480 exposing 0.8450 ahead of 0.84 round number, with fear beign that the pair is gradually shifting its focus from a 0.90-0.85 range to 0.85-0.80. On the topside, 0.8515/20 should be the first hurdle, followed by 0.8545/50 ahead of 0.8565/70.

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