AUD/USD Outlook (6 April 2022)
Following the RBA rate decision and statement, the AUD/USD rose significantly towards 0.7650
This move was driven by the Reserve Bank of Australia's rate statement indicating possibility of earlier rate increases possibly in May (previously expected towards the end of the year)
Overnight FOMC members commented
- balance sheet reduction soon and 'at a rapid pace' (Brainard)
- accommodative policy has to be removed, 50 basis points will be option to consider (George)
This resulted in the US Dollar strengthening, retracing the AUD/USD from resistance zone 0.7650
Counter trend opportunity would be to sell the AUD/USD if price continues to move towards support zone of 0.7500
This move was driven by the Reserve Bank of Australia's rate statement indicating possibility of earlier rate increases possibly in May (previously expected towards the end of the year)
Overnight FOMC members commented
- balance sheet reduction soon and 'at a rapid pace' (Brainard)
- accommodative policy has to be removed, 50 basis points will be option to consider (George)
This resulted in the US Dollar strengthening, retracing the AUD/USD from resistance zone 0.7650
Counter trend opportunity would be to sell the AUD/USD if price continues to move towards support zone of 0.7500
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