Societe Generale discusses AUD/USD technical outlook and highlights the significance of the key support around 0.7160-40.
"AUD/USD breached the lows of July after which the down move has started extending. It is now closing in on the graphical levels of 0.7160/40 which is also the 76.4% retracement from 2016.
This should be a near term support. In case this gives way, there will be a risk of a larger correction towards 0.71/0.7030 first," SocGen argues.