The Aussie dollar moved higher after retest of Tuesday’s 0.7447 low failed to break lower. Slightly softer than expected but unchanged Australian wage price index and consumer sentiment offered support. Recovery attempts eye sideways-moving 10SMA (0.7505), break of which would dent overall bearish structure and allow for further upside and test of next resistance at 0.7542 (falling 20SMA). Ascending 14-d momentum and freshly formed 5/10SMA bull-cross supports the notion. Key barrier lays at 0.7565 (Fibo 38.2% of 0.7812/0.7412 / double upside rejection) and firm break here is needed to neutralize downside risk and signal stronger recovery. Tue/Wed lows at 0.7447 mark initial supports ahead of key point at 0.7412 (09 May low), loss of which would generate strong bearish signal.
Res: 0.7505, 0.7542, 0.7565, 0.758
Sup: 0.7470, 0.7447, 0.7433, 0.7412
