AUD/USD analysis: Australian GDP in focus
|AUD/USD Current price: 0.7546
The AUD/USD pair ended the day lower around 0.7450, with the Aussie hit at the beginning of the day by the latest RBA economic policy decision. As largely expected, the Central Bank left its cash rate target unchanged at 1.50%, but Governor Lowe introduced some changes to its previous statement, expressing his concerns over the situation of the labor market, as part-time employment remains significant. Also, he maintained a cautious approach on inflation, despite the latest inflation report surprised to the upside, up to 1.3% yearly basis. Australia will release its Q3 GDP during the upcoming session, expected to show a 2.5% growth in the three months to September, below previous 3.3%. A reading below expected, could drag the pair below the 0.7400 mark, opening doors for a retest of November's low around 0.7300. Technically, the 4 hours chart shows that the price is standing above a bearish 20 SMA, while the Momentum indicator has lost upward strength within positive territory, but the RSI indicator turned south around 47, not enough to confirm a bearish extension, but leaning the scale towards the downside.
Support: levels: 0.7410 0.7360 0.7325
Resistance levels: 0.7470 0.7510 0.7550
View Live Chart for the AUD/USD
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