FX.co ★ AUD/USD testing major resistance, prepare to sell

The price is testing major resistance at 0.7833 (2 years high, Fibonacci extension) and we expect a reaction off this level to at least 0.7769 support (Fibonacci retracement, Elliott wave theory). We would require the price to break this level first before we can confirm any further drop.

Stochastic (34,5,3) is testing 96% resistance and we expect it to drop soon along with the price.

Sell below 0.7833. Stop loss is at 0.7862. Take profit is at 0.7769.