AUD/USD chart - Trading View
- AUD/USD trades extremely rangebound in the Asian session after hitting 6-week highs at 0.7192 on Friday's trade.
- The pair consolidates trade above daily cloud and has made a day's high at 0.7179 and low at 0.7163.
- Aussie was supported higher as investors pared back some of the rate cut expectations by the Reserve Bank of Australia this week.
- The RBA’s deputy governor signalled the Bank did not see an urgency to cut rates just yet.
- Markets await the minutes of the April policy meeting due Tuesday for more insight into policymakers' intention.
- The aussie could stretch the past week’s gains if the minutes further dash expectations of an early rate cut.
- Focus this week on Thursday’s labour market indicators. Employment is forecast to have increased by 12,000 in March, accelerating from the prior 4.6k, while the jobless rate is anticipated to inch up to 5.0%.
- Technical studies show the pair finds stiff resistance at 200-DMA at 0.7196. Decisive break above could see further upside.
- Major trend in the pair is bearish. Retrace into daily cloud will see weakness till 0.7020 levels.
Support levels - 0.7150 (nearly converged 5-DMA and 110-EMA), 0.7121 (converged 55 and 21 EMA)
Resistance levels - 0.7196 (200-DMA), 0.7273 (55W EMA), 0.73
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