Dmitri Lysenko
The Australian authorities keep urging the RBA to continue its monetary easing through interest rate cuts. They say such measures are aimed at easing the pressure on the non-mining sectors of the Australian economy.
According to Julia Gillard, Prime Minister of Australia, both Australian households and businesses will benefit from lower interest rates.
According to John Horner, a currency strategist at Deutsche Bank, the RBA will most likely cut the rates while the Australian Dollar will weaken, thus falling below the parity with the US Dollar by the end of this quarter.
In the meantime, according to , AUDUSD is forming a mid-term range movement. The currency pair has finished forming wave А(С) or shortened С inside a mid-term downswing - wave А/В of Н8. A further rally will encounter resistance at 1.0390 and 1.0417. A break above these levels will complete the entire downtrend. A break below 1.0304 will continue the forming of wave А/В. Levels 1.0284 and 1.0270 are the closest major levels of support.
Dmitri Lysenko
