Weakness in Australian Dollar (AUD) could extend to 0.6620 before stabilisation can be expected; major support at 0.6590 is unlikely to come under threat. Further AUD weakness is not ruled out, albeit likely at a slower pace. The levels to watch are 0.6420 and 0.6390.

A break below 0.6620 to bring 0.6590 into view

24-HOUR VIEW: “The sharp drop in AUD that sent it to a low of 0.6632 was surprising. While the decline appears to be overdone, the weakness in AUD could extend to 0.6620 before stabilisation can be expected. The major support at 0.6590 is unlikely to come under threat. Resistance is at 0.6660; a breach of 0.6675 would mean the weakness has stabilised.”