Australian Dollar 10/20 day SMA Resistance

The AUDUSD has come under the 20 day SMA and briefly traded below .8233 (last week’s low) yesterday. Weekly RSI is divergent and above 70 for the first time since November 2004.

The rally from .7678 is an extended 5th wave, which are often fully retraced. Near term resistance is at the 10/20 day SMA confluence at .8290/93 and bearish potential is strong below there. We are showing the weekly chart this morning as it illustrates the longer term turn possibility.