Credit Suisse with the note:
AUDUSD has been aggressively capped below the“neckline” to its top at .7598/7617as expected AUDUSD has been aggressively capped below the “neckline” to its major top at .7598/7617as expected, with the recent weekly close below this key band of support reversing us into a medium term bearish view. Furthermore, yesterday’s close back below the 200-day average at .7575 should confirm the downtrend is set to directly resume, with more important support seen back at the 23.6% retracement of the up move from 2020 at .7418. It’s worth noting that there is a dearth of meaningful support below here, meaning the downtrend could accelerate on a move below here, with next minor support at .7379/72.
As above, we still look for “neckline” resistance at .7597/7617 to cap. Above here would suggest a deeper rally, with the next resistances seen at .7642/45, then .7688/7706, above which would make the top much less compelling. Our bias stays lower, with key support at .7418 next. A close back above .7617 would neutralise our bearish view.
