Menu

Search

  |   Technicals

Menu

  |   Technicals

Search

FxWirePro: AUD/USD rangebound ahead of RBA rate decision, technical bias bearish

AUD/USD chart - Trading View 

  • AUD/USD is trading rangebound in the Asian session as traders await RBA rate decision.
     
  • The major edged slightly higher post-upbeat Aussie data, but recovery capped at 0.70 handle.
     
  • Australia's retail sales arrived at +0.3 percent month-on-month, beating forecast of +0.2 percent and down from previous month's reading of +0.8 percent. 
     
  • Australia's trade surplus expanded to AUD 4,949 million in March from the February surplus of AUD 4801 million, beating AUD 4,300 million expected.
     
  • Focus now shifts towards the RBA monetary policy decision for further trading impetus.  
     
  • Analysts' expectations for the RBA are evenly split on whether the central bank will lower its cash rate or stay pat.
     
  • Technical bias is however bearish. 5-DMA caps upside and is sharply lower. Break above could see minor upside.
     
  • Scope for test of 61.8% Fib at 0.6955. Violation there could see further weakness. Bearish invalidation only above 200-DMA.

Support levels - 0.6955 (61.8% Fib), 0.69, 0.6862 (78.6% Fib)

Resistance levels - 0.70, 0.7002 (5-DMA), 0.7059 (21-EMA) 

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex
 

  • Market Data
Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.