FxWirePro: AUD/ USD drifts lower as RBA takes a dovish turn , scope for bigger drop

• AUD/ USD  fell below 0.6400 level on Tuesday after Reserve Bank of Australia (RBA) decided to keep interest rates unchanged and adopting a more cautious and less aggressive tone.

• The Reserve Bank of Australia (RBA) concluded its December board meeting by keeping rates unchanged at 4.35%.

• The RBA has held its policy steady for over a year now while other global policymakers, including the U.S. Federal Reserve, have started cutting rates from their record highs.

• At GMT 05:28, The Aussie   was trading down 0.76 % to $0.6390 , a level that hadn't been seen since Aug. 5.

•  Immediate resistance is located at 0.6451(38.2%fib), any close above will push the pair towards 0.6473(Dec 9th high).

•  Support is seen at 0.6379(23.6%fib) and break below could take the pair towards 0.6357(Lower BB).

 Recommendation: Good to sell around 0.6400, with stop loss of 0.6480  and target price of 0.6300.