AUDUSD Technical analysis 26.10.17

AUDUSD

The pair is still under pressure following the drop of expectations regarding the Australian central bank raising the rates this year, as the consumer price index figures are weak and the USD's positions are getting stronger. We think that the pair is highly likely to continue falling.

The price is below the middle Bollinger band, on the level of SMA 5, but below SMA 14. RSI is in the oversold zone. Stoch have left the oversold zone.

Trading recommendations:

The pair is likely to correct to the resistance level of 0.7740, but we expect it to go further down to 0.7665, and then to 0.7600.