Forex Technical Outlook AUDUSD 04.07.2017
The Aussie dollar fell sharply after RBA kept interest rates unchanged at record low at 1.5%, as widely expected, but following rate statement disappointed markets. RBA kept neutral bias, showing no hurry to hike, while markets expected more hawkish wording after ultra hawkish comments from former board member Edwards last week, who signaled possibility of very aggressive approach in 2018/19. The Australian dollar fell to 0.7604 (Fibo 61.8% of 0.7535/0.7712 upleg) on strong post RBA bearish acceleration from session high at 0.7682, extending pullback into second straight day. Monday’s strong close in red confirmed reversal pattern, as today’s fresh bearish acceleration turned near term focus lower and south heading daily RSI / slow stochastic showing more room at the downside. Fresh bearish signal could be expected on close below 0.7600 that would expose a cluster of MA supports below, starting with 20SMA at 0.7588, followed by 100SMA at 0.7553 and 30SMA at 0.7543, which guard key near term support at 0.7535 (22 June trough / daily cloud top / Kijun sen line). At the upside, broken daily Tenkan sen marks initial resistance at 0.7623, followed by broken Fibo 38.2% at 0.7644 and session high at 0.7682.
Res: 0.7623; 0.7644; 0.7682; 0.7694 Sup: 0.7604; 0.7588; 0.7577; 0.7553