AUD/USD remains flat lined following RBA minutes release

The bid tone around the Aussie dollar failed to gather pace, leaving the AUD/USD pair flat lined around 0.7680 even though RBA minutes showed policymakers see resource exports to boost GDP.

Slack in the labor market - RBA

The muted reaction may be due to RBA’s cautious comments on the labor market. The central bank said the spare capacity is likely to persist in the labor market and consumption growth could be limited by subdued income levels.

The minutes reiterated that an appreciating exchange rate would complicate this adjustment. Overall, the minutes painted a mixed picture, thus leaving the Aussie largely unimpressed. The Aussie 10-yr bond yield is flat lined around 2.815% as well.

AUD/USD Technical Levels

The daily chart shows a rising wedge pattern. A break below 0.7637 (Feb 15 low) would open doors for 0.76 (zero figure), under which the losses could be extended to 0.7507 (200-DMA). On the higher side, resistance at 0.7696 (Feb 2 high), if breached, would expose 0.7732 (Feb 16 high) and 0.7744 (wedge resistance).