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18 Mar 2015
AUD/USD: The quiet before the...FOMC
FXStreet (Guatemala) - AUD/USD is currently trading at 0.7722 with a high of 0.7629 and a low of 0.7618.
The Aussie has been pretty much sidelined in a tight range on the back of this week;s RBA minutes for their last meeting where they left rate son hold, but explained in the minutes that it was a close call and that they will continue to monitor economic conditions.
However, the week is about to get busy. We have the FOMC meeting with Chair Yellen giving her policy outlook in her Q&A session in the press conference post the Fed's announcement. The markets are expecting the removal of the word ‘patient’ from the statement and if it is not taken out, then the dollar is likely to be in supply given how much the market is pricing in a rate hike for as early as June. Technically, boundaries could be tested where the base of the 2 year down channel at 0.7550 is to the downside and 0.7790/00 to the upside.
The Aussie has been pretty much sidelined in a tight range on the back of this week;s RBA minutes for their last meeting where they left rate son hold, but explained in the minutes that it was a close call and that they will continue to monitor economic conditions.
However, the week is about to get busy. We have the FOMC meeting with Chair Yellen giving her policy outlook in her Q&A session in the press conference post the Fed's announcement. The markets are expecting the removal of the word ‘patient’ from the statement and if it is not taken out, then the dollar is likely to be in supply given how much the market is pricing in a rate hike for as early as June. Technically, boundaries could be tested where the base of the 2 year down channel at 0.7550 is to the downside and 0.7790/00 to the upside.