As investors are waiting for another RBA meeting scheduled for Tuesday, the rally of AUDUSD is suspended. Another restraining factor is the uncertainty in advance of Glenn Steven’s speech, which is expected to be given on Friday. Both the events may become market drivers. So, the concerns are not groundless.
The Aussie has recent been showing strength due to higher commodity prices (The Aussie is a commodity currency). Judging by the recent comments made by the RBA, the strengthening has had a negative impact on the national economy.
However, most analysts are convinced that the RBA won’t dare make a currency intervention. They expect the central bank to press the national currency by cutting the interest rates if the RBA does decide to lower the AUDUSD exchange rate.
Forex.
According to , the Aussie keeps retracing against the US Dollar. The experts report that AUDUSD is forming wave В(С) of Н16 against the recent rally.
A further downswing will meet support around 1.0393, 1.0355, especially if the price breaks below 1.0409. The current bearish move will be completed as soon as the price overcomes the top of the MF sloping channel and consolidates above 1.0528 (as shown below).
