Elegantly Wasted

During the recent years the Aussie has become a favoured vehicle for traders. The attractiveness is written by the interest rate differential in the pairing, which enrolled security due to the opportunity to earn rollover for being long on AUD/USD. Well the massive bull run is not seen lately, as the pair is strongly correlated with economic difficulties in China along with the bearishness in commodities and metals market. Currently the Aussie is elegantly wasted in the lustreless frame of Autralia’s financial development. 
The recent tides on the forex market brought ebb. The pair marked three-weeks low at 0.7545, mainly influenced by the dovish RBA this morning.  

AUD/USD took steeper move to downwards and surpassed the significant support at 0.7588 (61.8% FIbonacci retracement of 0.7489 to 0.7747). This figure increases the risk of longer term decline, which finds confirmation with technical indicators, as it’s clearly seen on the four-hour time frame. Both RSI and stochastic are located within extreme oversold territory, but have lost directional strength, while the 20-day SMA has turned sharply to south.Fresh bears will attempt to test 0.7540, but more important is to be aware of 0.7380.

As INXS sing, this ain’tthe good life. Don’t look at all that shines, the spirit is not running with this pair.