The Australian dollar slipped after muted retail sales in April. The pair has met stiff selling pressure near 85.15. Four failed attempts to clear this resistance level suggest exhaustion from the buy-side.
The break below 84.75 could be the straw that broke the camel’s back as buyers start to bail out. The sell-off could gain momentum once it goes below 84.55. Then 84.25 is the next support.
An oversold RSI may lead to a temporary pullback, which could turn out to be a dead cat bounce.
