AUDUSD reversed higher Wednesday. Short-term gains are considered corrective though and a bearish threat remains present. A resumption of weakness would signal scope for a test of key support and the bear trigger at 0.6829, the May 12 low. Clearance of this support would confirm a resumption of the downtrend and open 0.6805, the Jun 22 2020 low. On the upside, 0.7063, Jun 13 high is seen as an initial firm resistance.
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EURJPY fell sharply on May 12 and remains vulnerable. The move lower last week marks an extension of the reversal from Apr 21. The cross has breached a number of important support levels, clearing the 50-day EMA, and the Apr 5 low of 134.30. Furthermore, the move lower highlights a head and shoulders reversal pattern. A continuation lower would open 132.40 initially - the 100-dma. Initial resistance is 136.75, May 12 high.
Spot USD/INR has pushed to fresh record highs in the first few hours of onshore trading today. We ran up to 77.80 before sentiment stabilized, we are around 0.30% higher in spot USD/INR terms vs. last Friday (note spot markets were closed yesterday).