FxWirePro: AUD/ USD neutral in the near-term, scope for downward resumption

• AUD/USD initially gained on Monday  but gave up ground as investors reacted to  comments from a senior RBA’s  official. 

• A senior official Australia Deputy Governor Andrew Hauser stated  that the pace of employment growth has taken the RBA by surprise and that policymakers are still prepared to react to shifts in the outlook for the economy in either way.

•  Australian employment surpassed forecasts for the sixth month in September, keeping the unemployment rate at 4.1% and reinforcing a tight labor market, which reduces expectations for near-term rate cuts.

• At GMT 05:20, the pair was trading down 0.02 % at 0.6700  after hitting daily high at 0.6721

• Immediate resistance is located at 0.6727 (38.2%fib), any close above will push the pair towards 0.6754(23.6%fib).

• Support is seen at 0.6693(50%fib) and break below could take the pair towards 0.6668 (61.8%fib).

 Recommendation: Good to sell around 0.6710, with stop loss of 0.6800 and target price of 0.6650