AUD weakest of the majors

All major currencies are underperforming against the USD, but AUD is by far the weakest, according to Cornelius Luca, Global Chief Technical Analyst at Thomson Reuters (see Table).

Luca says AUD/USD is trying to find a base after falling for 5 consecutive weeks to an over 6-year low. The pair is trading well below its declining 21-day exponential moving average and both fast stochastics and MACD are bearish (see Chart). As such, Luca suggests shorting AUD while it remains below its 21-day exponential moving average.

Initial support is at 0.7257 with further support at 0.7188 and 0.7096. Initial resistance is at 0.7368 with further resistance at 0.7595.

See Table and Chart.