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9 Apr 2015
AUD/USD: Bulls remain committed to a minor correction
FXStreet (Guatemala) - AUD/USD is currently trading at 0.7695 with a high of 0.7740 and a low of 0.7658.
AUD/USD has staged a decent performance in April, against the broader based downtrend set in late March from above the 0.79 handle. The pair found demand on the back of surprises from the RBA holding on their policy stance for the time being, while the majority of the market consensus was in pursuit of a rate cut in a disinflationary environment. However, this puts May on the map where a number of economists are calling for further easing from the Central Bank to spur growth in the economy.
The FOMC was more hawkish than expected in their previous meeting's minutes, and rallies in the major, initially stemming from the dismal NFP's print, are soon picked up by the bears and sold into, curbing the minor correction in the pair from 0.7531 April low to aforementioned highs. Technically, there is a bearish bias while the below the February and March highs at 0.7912/38 and only closes through the early Jan lows at 0.8034 handle would be a bullish signal and confirmation of a correction.
AUD/USD has staged a decent performance in April, against the broader based downtrend set in late March from above the 0.79 handle. The pair found demand on the back of surprises from the RBA holding on their policy stance for the time being, while the majority of the market consensus was in pursuit of a rate cut in a disinflationary environment. However, this puts May on the map where a number of economists are calling for further easing from the Central Bank to spur growth in the economy.
The FOMC was more hawkish than expected in their previous meeting's minutes, and rallies in the major, initially stemming from the dismal NFP's print, are soon picked up by the bears and sold into, curbing the minor correction in the pair from 0.7531 April low to aforementioned highs. Technically, there is a bearish bias while the below the February and March highs at 0.7912/38 and only closes through the early Jan lows at 0.8034 handle would be a bullish signal and confirmation of a correction.