Tuesday, 1 August 2017

Aussie couldn’t fight 0.8000

During the Asian session the AUD/USD pair pushed higher and marked daily high at 0.8042, but later retreated  to lower levels and the current market price is 0.7975. Of course strong fundamentals influenced as this drop occurred right after the RBA's monetary policy announcement. The Central Bank of Australia kept the rates unchanged at 1.5% and meanwhile expressed solicitudes about the stronger Australian dollar that would press down the inflation and growth. 
Technically speaking on the four-hour time frame the Aussie is showing some bearish signals. The price has crossed to below its 20-day SMA while the 100-day SMA is keeping slight bullish slope. Stochastic has turned sharply to south and surpassed its mid-line. RSI is also bearish but is currently located around 50. 
First support is seen at 0.7935 (last week’s low) and in case of breaking it the pair will be poised to extend its decline towards 0.7875.    


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