Blog post

Technical Analysis: AUDUSD eases from monthly top after RBA's dovish halt

Having initially surged to a one-month top of 0.6997, AUDUSD recedes to 0.6950 as the RBA conveyed economic worries, due to the coronavirus (COVID-19), while keeping the benchmark interest rate at 0.25%. As a result, a gradually downward sloping RSI could drag the quote a three-month-old support line, at 0.6920 now. However, the pair's weakness below the said support line might not hesitate to challenge the mid-June low near 0.6775. During the quote's additional weakness past-0.6775, 200-day SMA level of 0.6670 will be the key to watch.

Meanwhile, bulls will seek a clear break of 0.7000 psychological magnet for fresh entries. In doing so, the June month's top surrounding 0.7065 will be on their radar as immediate resistance. Given the AUDUSD price rally beyond 0.7065, July 2019 top near 0.7085 will become an additional upside barrier ahead of 0.7100 round-figures. It's worth mentioning that the bulls' dominance above 0.7100 will recall April 2019 peak near 0.7200.

Join us on FB and Twitter to stay updated on the latest market events.

Our awards

award1 award2 award3 award4 award5