The Aussie dollar stands at the back foot in early Monday on greenback’s modest recovery, but dips so far hold well above psychological 0.8000 support (also daily Tenkan-sen) which marks the first pivot. Risk of deeper pullback exists on formation of Shooting star reversal pattern on daily chart and south-heading slow stochastic which reversed from overbought territory. However, limited downside action could be expected while the price holds above 0.8000 handle, as the Aussie is supported by fresh AUDJPY buying on reduced safe-haven demand. Daily Tenkan-sen and Kijun-sen lines (0.8000/0.7966 respectively) should contain extended dips before bulls resume towards target at 0.8164 (50% retracement of 0.9503/0.6825 descend). Conversely, close below daily Kijun-sen would increase risk of deeper pullback.
Res: 0.8065, 0.8100, 0.8124, 0.8164
Sup: 0.8028, 0.8000, 0.7966, 0.7929
