The Aussie dollar remains in red on Tuesday and hit new 2 ½ month low at 0.7785 on renewed probe below daily cloud base (0.7800).
The Reserve Bank of Australia held interest rates steady at record low at 1.5%, despite signals that the economy continues to improve.
The pair remains in steady descend but so far unable to clearly break below cloud base. Narrow consolidation could be expected before bears resume, with 0.7835/60 resistance zone to cap upside attempts.
Close below daily cloud will be bearish signal, with violation of next support at 0.7770 (100SMA) needed to confirm bearish continuation of the wave C from 0.8102 (20 Sep high) towards its FE 200% at 0.7733.
Alternative scenario requires sustained lift above 0.7860 to sideline immediate bearish threats and turn focus towards upper pivot at 0.7915/10 (daily cloud top, reinforced by falling Tenkan-sen).
Res: 0.7820, 0.7835, 0.7860, 0.7910
Sup: 0.7800, 0.7785, 0.7770, 0.7733
