The USD weakened throughout the board final week on account of a extra dovish than
anticipated FOMC resolution the place the Fed determined to sign a much bigger QT taper
starting in June and the Fed Chair Powell pushed again repeatedly
in opposition to charge hike expectations. Furthermore, the information on Friday confirmed that the Fed may certainly simply preserve charges larger for longer as job and wage development soften.
The AUD has been gaining floor in opposition to many main currencies following the most recent Australian Q1 CPI report the place the information beat expectations by a giant margin pushing charge cuts expectations additional away to Q2 2025 and elevating the probabilities of a charge hike.
AUDUSD Technical Evaluation – Day by day Timeframe
AUDUSD 1 hour
On the each day chart, we will see that the value has now reached a key resistance zone across the 0.6650 stage the place the pair acquired rejected a number of instances prior to now few months. That is the place we will count on the sellers to step in with an outlined danger above the resistance and place for a drop into new lows. The consumers, however, will need to see the value breaking to the upside to pile in with extra conviction and begin concentrating on the cycle highs.
AUDUSD Technical Evaluation – 1 hour Timeframe
AUDUSD 1 hour
On the 1 hour chart, we will see that we’ve a trendline defining the present uptrend on this timeframe with a minor assist zone across the 0.66 deal with. If we get a pullback into the trendline, we will count on the consumers leaning on it to place for a hawkish RBA resolution and concentrating on a break above the resistance zone. The sellers, however, will need to see the value breaking decrease to begin piling in and improve the bearish bets in case the RBA disappoints. A break under the 0.6577 stage ought to technically reverse the pattern and open up room for a drop into the 0.6465 swing low.
Upcoming Catalysts
This week is fairly naked on the information entrance as we’ve simply the RBA resolution tomorrow, the
US Jobless Claims on Thursday and the College of Michigan Shopper Sentiment
survey on Friday being the one notable releases. We would see some risk-on sentiment this week following the US information on Friday, so even when the RBA disappoints, the USD may nonetheless stay underneath strain.