AUD/USD Analysis: bearish ahead of RBA Minutes

Valeria Bednarik FXStreet

AUD/USD Current Price: 0.6765

RBA to release the Minutes of it August meeting early Asia.
AUD/USD confined below 0.6800, risk skewed to the downside.

The AUD/USD pair spent the day trading uneventfully around Friday’s close, with the Aussie unable to capitalize the better market mood. Worldwide indexes closed in the green, with US ones led by tech-related shares, up after the US decided to extend Huawei’s temporary license for 90 days. Nor Australia, neither the US released relevant macroeconomic data, leaving the pair directionless within familiar levels. The Reserve Bank of Australia is scheduled to release the Minutes of its August meeting during the upcoming Asian session, with investors waiting for fresh clues about the future of the macroeconomic policy. Further rate cuts are expected in the country, although the market is looking for the next move to take place next year.

AUD/USD short-term technical outlook

The AUD/USD pair continues trading around a directionless 20 SMA, in the 4 hours chart, while below the larger moving averages, with the 100 SMA currently providing a dynamic resistance at around 0.6800. Technical indicators have extended their declines, now entering negative territory, although their bearish strength is quite limited given the limited intraday range. The downward momentum will likely increase on a break below 0.6740, the immediate support.

Support levels: 0.6740 0.6700 0.6675

Resistance levels: 0.6800 0.6845 0.6880

View Live Chart for the AUD/USD

Author

Valeria Bednarik

FXStreet

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

EUR/USD off highs, back to 1.1850

EUR/USD loses some upside momentum, returning to the 1.1850 region amid humble losses. The pair’s slight decline comes against the backdrop of a marginal advance in the US Dollar as investors continue to assess the latest US CPI readings.

GBP/USD advances to daily tops around 1.3650

GBP/USD now manages to pick up extra pace, clinching daily highs around 1.3650 and leaving behind three consecutive daily pullbacks on Friday. Cable’s improved sentiment comes on the back of the inconclusive price action of the Greenback, while recent hawkish comments from the BoE’s Pill also collaborates with the uptick.

Gold surpasses $5,000/oz, daily highs

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The yellow metal’s upside is also propped up by the lack of clear direction around the US Dollar post-US CPI release.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.