FxWirePro: AUD/CHF hovers around major trendline support at 0.7235, weakness only on break below

• AUD/CHF retraces from session lows at 0.7233, finds major trendline support at 0.7235.
   
• Price action is raging below 200-DMA and daily cloud. Technical indicators are still heavily bearish.
   
• Break below support at 0.7235 will see drag upto 0.7170 (50% Fib retrace of 0.6533 to 0.7806 rally).
   
• RSI is converging with price action but we see bullish divergence on Stochs which raises chances of slight reversal.
   
• Close above 0.7280 (50% Fibo 0.6752 to 0.7806 rally) could see further upside.

Support levels - 0.7235 (Trendline), 0.72, 0.7170 (50% Fib retrace of 0.6533 to 0.7806 rally)

Resistance levels - 0.73, 0.7320 (38.2% Fib), 0.7373 (5-DMA)

Recommendation: Watch out for close above 0.7280 to go long. Bullish invalidation on break below 0.7535.

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 4.93247 (Neutral), while Hourly CHF Spot Index was at 120.859 (Bullish) at 0640 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.