FxWirePro: AUD/USD recovery capped below 5-DMA, eyes 200-DMA at 0.7776

• AUD/USD reverses temporary bounce seen on Thursday, drops further on resurgent USD demand.
   
• USD bulls regained control ahead of the Fed’s bi-annual monetary policy report.
   
• AUD/USD extending decline after failure to hold break above 20-DMA on Feb 16th trade.
   
• Upside finds stiff resistance at 55-EMA at 0.7869. We see minor upside on break above.
   
• Technical studies are bearish. RSI and Stochs are biased lower. We see -ve DMI dominance.
   
• Bears now target 200-DMA at 0.7776. Violation there could see test of 61.8% Fib at 0.7743.

Support levels - 0.7776 (200-DMA), 0.7762 (cloud base), 0.7743 (61.8% Fib)

Resistance levels - 0.7853 (5-DMA), 0.7893 (38.2% Fib), 0.7907 (20-DMA)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-AUD-USD-recovery-capped-below-079-handle-good-to-go-short-on-rallies-1160904) has hit TP1.

Recommendation: Book partial profits at lows. Trail stop loss to 0.79. Hold for further downside.

FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest