AUD/USD: steady-Eddy on RBA's FSR dovish release

Currently, AUD/USD is trading at 0.7830, up 0.14% on the day, having posted a daily high at 0.7834 and low at 0.7817.

RBA Financial Stability Review: Higher interest rates could hurt heavily-indebted households

In its 60-page Financial Stability Review (FSR), the Reserve Bank of Australia (RBA) warns that interest rate hikes could hurt the heavily-indebted households. 

AUD/USD has remained stable on the release, eventually tallying up all of 5 pips with traders instead awaiting Chinese macroeconomic calendar including September trade balance and money figures.

Meanwhile, the Aussie was supported overnight on not only a softer tone to the greenback but domestically and from a bid in metals in NY.  Aussie bulls had taken control in yesterday's Asian session on the back of the positive domestic data for Australia.

Forex today: volatility in the pound and SEK, US dollar closed flat

AUD/USD levels

Valeria Bednarik, chief analyst at FXSytreet explained, that in the meantime, the short-term picture presents a modest bullish stance, as the price kept held near the mentioned daily high at the end of the day, having advanced above a bullish 20 SMA, and with technical indicators aiming higher within positive territory, after a modest downward correction. "Beyond the mentioned daily high the pair has scope to extend towards the 0.7900 region where selling interest will likely reject any potential advance," Valeria added.


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