• AUD/USD steadied on Friday as surging oil prices amid the expanding Middle East war fueled inflation concerns and raised the risk of further RBA tightening.
• Hawkish signals from central banks boosted bets on further rate hikes in Australia and a quicker return to tightening in New Zealand.
• The RBA has raised rates to 4.10%, with markets pricing a 56% chance of a hike to 4.35% in May and a potential peak near 4.85%.
• On the data front, Figures from the Australian Bureau of Statistics on Thursday showed net employment rose 48,900 in February from January, when it rose a revised 26,000. That was well above market forecasts of a 20,000 gain.
•The jobless rate rose to 4.3%, after holding at 4.1% for two months, as the participation rate climbed to 66.9%.
• Immediate resistance is located at 0.7091(38.2%fib), any close above will push the pair towards 0.7176 (Higher BB).
• Support is seen at 0.7004 (50%fib) and break below could take the pair towards 0.6971(Lower BB)
Recommendation: Good to buy around 0.7070 with stop loss of 0.7000, and target price of 0.7120
