Credit Suisse discusses AUD/USD technical outlook and expects a renewed test of the upper end of the broad sideways range at .6885/.6910.
"AUDUSD is recovering as expected after holding support at .6811/02, the 13-day exponential average and 38.2% retracement of the October rally and we look for a renewed test of key resistance from the upper end of the range at .6885/.6911 - the high of September, downtrend from the beginning of 2018 and “neckline” to the June/July top. We continue to look for this to cap to define the top of a sideways range," CS notes.
"Above .6911 though would instead mark an important “double bottom” base to mark a more meaningful turn higher, with resistance then seen initially at .6925, then the downtrend at .6934. Support at .6843/36 ideally holds to day to keep the immediate risk higher. Below can see a retest of .6811/02, with a break here warning of a deeper setback to the 55-day average and near-term uptrend at .6789/72, but we look for a floor to be found here," CS adds.