AUD/USD Current Price: 0.7174
- Aussie trimmed RBA-related losses, bulls cautious ahead of first-tier Chinese Q1 GDP.
- March Australian Westpac Leading Index could confirm RBA's gloomy economic outlook.
The AUD/USD pair fell during the Asian session, but trimmed losses in the last trading session, closing a third consecutive day in the 0.7170 price zone. The early decline was driven by the RBA as the central bank's meeting Minutes showed that most policymakers expect inflation to remain mute for some time. Furthermore, board members said they would favor a rate cut if inflation remains low, somehow confirming speculation that an upcoming rate cut is around the corner. The pair later recovered as solid earnings reports in the US pushed equities to fresh intraday yearly highs. The AUD/USD pair rally stalled below 0.7200 as investors are now waiting for the Australian Westpac Leading Index for March, and a batch of Chinese figures, including Q1 GDP. Chinese growth is foreseen up by 6.3% YoY in the first three months of the year, worse than the previous 6.4% from the previous quarter. The country will also release March Retail Sales, seen rising by 8.4% YoY, and Industrial Production for the same period, seen up by 5.9% vs. the previous 5.3%.
The technical picture is mixed short term, as the intraday slide put an upward continuation at risk, although next directional move will depend mostly on Chinese news. The 4 hours chart shows that the pair pierced its 20 SMA, although the indicator resumed its advance as the following recovery as quite fast. The Momentum indicator in the mentioned chart maintains its downward slope just below its midline as the pair is unable to enter into positive territory weekly basis, while the RSI advances modestly at around 57, keeping the risk skewed to the downside.
Support levels: 0.7135 0.7090 0.7055
Resistance levels: 0.7205 0.7250 0.7280
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
AUD/USD hovers around 0.6500 amid light trading, ahead of US GDP
AUD/USD is trading close to 0.6500 in Asian trading on Thursday, lacking a clear directional impetus amid an Anzac Day holiday in Australia. Meanwhile, traders stay cautious due ti risk-aversion and ahead of the key US Q1 GDP release.
USD/JPY finds its highest bids since 1990, near 155.50
USD/JPY keeps breaking into its highest chart territory since June of 1990 early Thursday, testing 155.50 for the first time in 34 years as the Japanese Yen remains vulnerable, despite looming Japanese intervention risks. Focus shifts to Thursday's US GDP report and the BoJ decision on Friday.
Gold stays firm amid higher US yields as traders await US GDP data
Gold recovers from recent losses, buoyed by market interest despite a stronger US Dollar and higher US Treasury yields. De-escalation of Middle East tensions contributed to increased market stability, denting the appetite for Gold buying.
Ethereum suffers slight pullback, Hong Kong spot ETH ETFs to begin trading on April 30
Ethereum suffered a brief decline on Wednesday afternoon despite increased accumulation from whales. This follows Ethereum restaking protocol Renzo restaked ETH crashing from its 1:1 peg with ETH and increased activities surrounding spot Ethereum ETFs.
Dow Jones Industrial Average hesitates on Wednesday as markets wait for key US data
The DJIA stumbled on Wednesday, falling from recent highs near 38,550.00 as investors ease off of Tuesday’s risk appetite. The index recovered as US data continues to vex financial markets that remain overwhelmingly focused on rate cuts from the US Fed.