Tuesday, 7 August 2018

AUD/USD Pushing higher after RBA left rates unchanged


The Australian Dollar is trading up with 0.54% at above 0.7427 level against the US Dollar. In line with the expectations the Reserve Bank of Australia left its cash rate unchanged at 1.50%. Inflation and wages remain low and the statement of the bank was broadly unchanged from the previous monetary policy meeting.
Technically speaking the short-term outlook remains bullish. On the four hour time frame the price is developing above its flat 50-day and 100-day SMAs and the 20-day SMA has turned to north. RSI has eased around 65 level  while stochastic is showing strong bullish momentum and is entering extreme overbought conditions.
Now bulls are eyeing the r
esistance at 0.7445 which is broken will open doors for testing the next one - July 10 high at 0.7484 and higher at 0.7531. Looking to the downside the pair founds support at 0.7348 (Friday’s low), 0.7310 (July 2 bottom) and 0.7184.


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