Watchout for AUD/USD breaks below 0.72 for further downside

Selloff in oil and bulk commodities which extended for a third day weighed heavily on currencies of major commodity producers such as Australia

AUD/USD rejected at day's high by 0.7237, back to opening level at 0.7218 after topping at 0.7237

Bear signs upped as pair dives below 10-DMA & pierces 21 & 100-DMAs while daily RSI and Stochs also maintain bear bias

Strong support seen at 0.72 (trendline),breaks below could see retracements upto 0.71 and then to 0.7080 levels

Immediate resistance is seen at 0.7237 (session high Dec 9) and then at 0.7269 (10 DMA)

Recommendation: Good to sell rallies around 0.7225, SL: 0.7280, TP: 0.71

Resistance Levels:

0.7237 (session high Dec 9)

R2: 0.7269 (10 DMA)

R3: 0.7270 (Dec 8 high)

Support Levels:

S1: 0.7201 (21-Day MA, Trendline)

S2: 0.7194 (100-Day MA)

S3: 0.7173 (55 DMA)