• AUD/USD held steady on Tuesday as traders awaited Australia’s Federal Budget and monthly inflation data for further clarity on interest rate policy.
• Details of the budget will be announced by Treasurer Jim Chalmers in parliament at 1930 local time (0830 GMT).
• Markets are not expected to react significantly to the announcement, with investors likely focusing instead on broader economic indicators and global market trends.
• Looking ahead, Australia’s February inflation data is set for release on Wednesday, with forecasts pointing to a 2.5% annual rise.
• At GMT 05:55, The Australian dollar was last trading up 0.16% to $0.6279
• Immediate resistance is located at 0.6309 (50%fib), any close above will push the pair towards 0.6369(61.8%fib).
• Support is seen at 0.6251(38.2%fib) and break below could take the pair towards 0.6183(Lower BB).
Recommendation: Good to sell around 0.6290, with stop loss of 0.6380 and target price of 0.6250
