Technical Bias: Bearish
The AUDUSD was little changed in Monday’s Sydney session after plunging to six-year lows last Wednesday, as the markets turned their attention to a series of central bank announcements this week.
The AUDUSD was trading at 0.7638, little changed from the previous close. Near-term support is offered at 0.7595. On the upside, initial resistance is likely found at 0.7697.
The pair bottomed out at 0.7559 last Wednesday, the lowest level since May 2009. It would subsequently climb to 0.7717 on Thursday before giving back most of those gains on Friday.
Below is a rundown of the Australian dollar’s major news releases this week:
The Reserve Bank of Australia will publish the minutes of its March policy meetings, giving investors clues about how central bank officials view the economy.
The Reserve Bank of Australia will release its quarterly Bulletin, which contain key articles about economic and financial developments in Australia.
Reserve Bank of Australia Governor Glenn Stevens will speak at an American Chamber of Commerce in Australia luncheon in Melbourne.
US Dollar & The FOMC
In the United States, the Federal Open Market Committee will issue a key rate statement on Wednesday. While the Fed is not expected to raise interest rates, policymakers are under pressure to begin normalizing monetary policy. This could prompt the Fed to drop the word “patience” from its official rate statement, signaling that a midyear rate hike is still on the table.