• AUD/ USD hit nine month high on Tuesday after the Reserve Bank of Australia held interest rates steady as expected and stuck to its hawkish script .
• The Reserve Bank of Australia (RBA) held its cash rate at 4.35% for the seventh straight meeting, reiterating that policy must remain restrictive to curb inflation.
• Markets imply a 24% chance of the RBA cutting rates at its November meeting and a 64% likelihood of a cut in December.
• Immediate resistance is located at 0.6866(23.6%fib), any close above will push the pair towards 0.6892(Higher BB).
• Support is seen at 0.6824 (Daily low) and break below could take the pair towards 0.6791(38.2%fib).
Recommendation: Good to buy around 0.6850, with stop loss of 0.6780and target price of 0.6950.
