The Australian Dollar plunged by 96 basis points or 1.31% against the US Dollar on Wednesday. The decline was stopped by the 200– hour simple moving average during yesterday’s trading session.
If the support line formed by the lower boundary of an ascending channel pattern holds, a surge towards the weekly R2 at 0.7236 could be expected during the following trading session.
However, if the currency exchange rate breaks the channel pattern, bearish traders could target the weekly S1 at 0.7122 today.
