AUDUSD crawls to 7-week highs above 0.6540 after Fed’s meeting


  • AUD/USD hits fresh 7-week highs at 0.6550 after the Fed’s decision.
  • The USD loses ground on Fed Powell’s press release.
  • The Federal Reserve maintains its dovish rhetoric and pledges to whatever it takes.

The Australian dollar is crawling higher, as the USD loses ground against its main peers after the Federal Reserve disclosed its monetary policy statement.

The AUD/USD has extended its uptrend from last week’s lows at 0.6250, to hit fresh seven-week highs at 0.6550 although, so far, the pair seems unable to consolidate above previous high at 0.6540.

The Fed commits to whatever it takes

The Federal Reserve has kept its target rate unchanged at 0%-0.25% on its April’s monetary policy meeting and has pledged to use “its full range of tools to support the US economy.”

The Bank reiterated the risks of the COVID-19 shock to employment and inflation in the near-term and to the economic outlook in the medium-term. In this context, the MPC confirmed that the target rate will remain near zero "until the economy has weathered recent events” and is on track to achieve maximum employment and price stability.

Regarding monetary measures, the Bank reiterated its commitment to continue buying Treasury securities and agency residential and commercial mortgage-backed securities to support the flow of credit to households and businesses. Besides, the Open Market Desk will continue offering large-scale overnight and term repurchase operations, monitoring closely market conditions and ready to adjust plans as appropriate.

AUD/USD key levels to watch

AUD/USD

Overview
Today last price 0.655
Today Daily Change 0.0059
Today Daily Change % 0.91
Today daily open 0.6491
 
Trends
Daily SMA20 0.629
Daily SMA50 0.6306
Daily SMA100 0.6574
Daily SMA200 0.6691
 
Levels
Previous Daily High 0.6515
Previous Daily Low 0.6434
Previous Weekly High 0.6406
Previous Weekly Low 0.6253
Previous Monthly High 0.6686
Previous Monthly Low 0.5509
Daily Fibonacci 38.2% 0.6484
Daily Fibonacci 61.8% 0.6465
Daily Pivot Point S1 0.6444
Daily Pivot Point S2 0.6398
Daily Pivot Point S3 0.6363
Daily Pivot Point R1 0.6526
Daily Pivot Point R2 0.6561
Daily Pivot Point R3 0.6607

 

 

 

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