We do not normally cover the Australian Dollar for technical analysis but the combination of an RBA Monetary Policy Statement and Daily Level Resistances is very tempting. Note that market is disappointed that despite signalling a concern over housing prices the RBA views current interest rates at 4.35% as appropriate with Governor Michele Bullock indicating no need to raise rates expecting housing costs to ease naturally.
Resistance
- 0.66675 – March Spike Highs
- 0.66480 – Three Month Range Highs
- 0.66185 – Intraday Consolidation Floor
Support
- 0.65869 – Intraday Consolidation Floor
- 0.65543 – Intraday Highs
- 0.65372 – 50D Moving Average
AUDUSD has repeatedly test the highs around 0.66480 over the past three months ending seeing repeated disappointments. If the aussy were to see a clear push past the level yesterday’s RBA meeting would have been the best excuse for doing so. For now we are looking at the rejection from said resistances to continue, immediate objective would be easing to the 50D Moving Average with a break of 0.65869 as a possible entry. It is hard to imagine an excuse for going long unless we see a daily close above 0.66480. Note a break of the support and a push towards oversold levels in oscillators is a recipe for starting a bear trend.
