FxWirePro: AUD/USD refreshes 2-month high, as RBA set for further policy tightening

Chart - Courtesy Trading View 

AUD/USD was trading 0.17% higher on the day at 0.6803 at around 08:35 GMT.

The pair has resumed upside after a brief pause on Friday's trade, 200-DMA at 0.6919 in sight.

Australian dollar remains bid as the Reserve Bank of Australia (RBA) is all set to tighten its policy further for bringing price stability.

Analysts expect another 25 basis points (bps) hike by the RBA at the final monetary policy meeting of the year on 6 Dec.

This would be the third consecutive 25 bps rate hike by the RBA, which will take the OCR to 3.10%. 

On the data front, focus will be on Australian Gross Domestic Product (GDP) data, due Wednesday. Analysts expect a decline in the growth to 0.7% and 1.8% on a quarter and an annual basis.

Cautious prevails ahead of the US Services PMI data.  Analysts expect a 55.6 print, lower than the prior release of 54.4. The New Orders Index is seen at 58.5 against 56.5 prior.

Technical bias is bullish. Price action is above cloud and GMMA indicator shows major and minor trend are bullish. 200-DMA at 0.6919 in sight. Bullish invalidation only below daily cloud.