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5 May 2015
AUD/USD can go 0.7940 on an RBA surprise - FXStreet
FXStreet (Guatemala) - AUD/USD has been confined to a tight range, having been as low as 0.7801 early in the Asian opening.
Key Quotes:
"The RBA will have its economic policy meeting this Tuesday, and market expectations are of a 0.25% rate cut from current 2.25%, as the local economy continues to falter."
"The RBA has been expected to cut rates ever since its last cut in February, and the decision to stay on hold have triggered strong intraday spikes in the Aussie."
"There are some market talks on the possibility of a 0.50% cut, something that should trigger a sell-off in the commodity currency."
"Technically, the 1 hour chart shows a mild positive tone, as the price stands above its 20 SMA, whilst the technical indicators hold flat above their mid-lines."
"In the 4 hours chart the 20 SMA heads strongly lower above the current price, in the 0.7890 region, whilst the Momentum indicator heads higher below 100 and the RSI indicator also aims north around 44. A positive surprise can take the pair up to 0.7940, a strong static resistance area where sellers are expected to surge."
Key Quotes:
"The RBA will have its economic policy meeting this Tuesday, and market expectations are of a 0.25% rate cut from current 2.25%, as the local economy continues to falter."
"The RBA has been expected to cut rates ever since its last cut in February, and the decision to stay on hold have triggered strong intraday spikes in the Aussie."
"There are some market talks on the possibility of a 0.50% cut, something that should trigger a sell-off in the commodity currency."
"Technically, the 1 hour chart shows a mild positive tone, as the price stands above its 20 SMA, whilst the technical indicators hold flat above their mid-lines."
"In the 4 hours chart the 20 SMA heads strongly lower above the current price, in the 0.7890 region, whilst the Momentum indicator heads higher below 100 and the RSI indicator also aims north around 44. A positive surprise can take the pair up to 0.7940, a strong static resistance area where sellers are expected to surge."