28 Apr 2015
AUD/USD demand as Stevens sidesteps ahead of May's RBA
FXStreet (Guatemala) - AUD/USD is currently trading at 0.7855 with a high of 0.7865 and a low of 0.7834.
AUD/USD is up on the back of Stevens refraining from going in to rates and policy ahead of the forthcoming RBA next month and instead he spoke on subjects non-relating to FX, and hence the Aussie has picked up with risk out of the way, for now.
The Aussie is subject to the possibility of the RBA needing to act up on their policy to encourage growth, but that said they are data dependent and have previously cut rates already which may be starting to take effect with the improvement of the data of late. Thus, there is less sentiment for the requirement to act as soon as May. In any case, markets are nervous around the forthcoming event as there are still global deflationary pressures and disappointments in China and commodity prices. Meanwhile, however, we have the FOMC this week as well as US GDP Q1 as key events to contend with in the major.
Technically,the pair is at EMA5 on the hourly chart at 0.7852 with RSI (14) offering room to the upside yet ahead of the first key resistance offered by the February and March highs at 0.7912/38. "Key resistance is regarded as the 0.8034 early January low and a close above here is needed to negate medium term downside pressure," - explained Karen Jones, chief analyst at Commerzbank.
AUD/USD is up on the back of Stevens refraining from going in to rates and policy ahead of the forthcoming RBA next month and instead he spoke on subjects non-relating to FX, and hence the Aussie has picked up with risk out of the way, for now.
The Aussie is subject to the possibility of the RBA needing to act up on their policy to encourage growth, but that said they are data dependent and have previously cut rates already which may be starting to take effect with the improvement of the data of late. Thus, there is less sentiment for the requirement to act as soon as May. In any case, markets are nervous around the forthcoming event as there are still global deflationary pressures and disappointments in China and commodity prices. Meanwhile, however, we have the FOMC this week as well as US GDP Q1 as key events to contend with in the major.
Technically,the pair is at EMA5 on the hourly chart at 0.7852 with RSI (14) offering room to the upside yet ahead of the first key resistance offered by the February and March highs at 0.7912/38. "Key resistance is regarded as the 0.8034 early January low and a close above here is needed to negate medium term downside pressure," - explained Karen Jones, chief analyst at Commerzbank.