- AUD/USD spiked to 0.7210 post RBA no change stance, then slid to 0.7110 on easing bias, and has now regained the 0.72 handle
- Aussie bulls ignore RBA’s further easing bias and cheer the central banks optimistic comments on economic outlook
- The pair is pushing higher as futures price out Dec easing, futures market only pricing in around a 35% chance of Dec 25 BP rate cut
- Also RBA Governor Stevens speaks Thursday and RBA SOMP released on Friday, the c.bank has chance to clarify intentions
- AUD/USD is currently trading at 0.7200, easing slightly after hitting highs of 0.7212
- Strong resistance is seen at 0.72 (trendline) ahead of 0.7225 (21-day MA and 50% of 0.7382/0.7067 converge)
- Stochs on hourlies show bearish crossover from overbought levels, correction lower could ensue
- Supports on the downside are seen at 0.7162 (hourly 10 SMA), and further below at 0.7109 (cloud top)
Recommendation: Good to sell rallies around 0.7200, SL: 0.7240, TP: 0.7150
The material has been provided by InstaForex Company – www.instaforex.com