Published by Mark Smith-HalvorsenThe Australian dollar may slump to a five week low against the dollar if major support at $0.8876 is breached, according to technical analysis.Speaking to Bloomberg, Pak Lai Ng, a forex analyst at Singapore-based Forecast, said that breaking through such support would equate to a 38.2 per cent retracement of the Aussie's rally between July 1st and August 6th.This percentage holds significance in Fibonacci sequencing, a popular method of technical forecasting among forex traders."The Aussie needs to breach this level," before moving lower, he told the newsgroup."For this week, it’ll consolidate and then continue lower," he added, in comments that have also been supported elsewhere.FXDD reports that the first support level to breach on the downside will be the 100-day moving average, after which point it may drop as low as $0.87792.The Australian dollar came under selling pressure over the weekend after the country's election results proved inconclusive, resulting in ongoing discussions Labour, the Liberals and minor independents to resolve the hung parliament. For more information on foreign exchange treasury services and risk management, visit our Corporate FX site.