Back
18 Jun 2013
RBA minutes next: Impact on the AUD/USD
FXstreet.com (Barcelona) - The RBA Minutes will be published at 01:30 GMT, an event that may produce some short-term volatility in the AUD/USD, depending on the wording used on monetary policy.
The 20-day EMA remains key resistance
Despite the increase in participation from buyers in the last trading days, the 20-day EMA still presents a stiff resistance for the AUD/USD, with the last attempts through 0.9560 meeting with strong selling interest.
RBA minutes to provide clues?
One of the main reasons to blame for such a sustained period of weakness in the AUD/USD through May is the RBA economic policy, with the central bank having embarked on a new easing phase to adjust the economy to its new fundamental landscape.
Since the last meeting rates were unchanged, the market will be looking for tips on upcoming movements.
According to Valeria Bednarik, Chief Analyst at FXstreet.com, "a dovish statement or the possibility of another rate cut in the near future, will put Australian dollar under pressure, particularly against strong yen."
On the other hand, "if somehow the Central Bank results to offer a more optimistic outlook and rate cuts are not tip toed for upcoming months, Aussie may surge strongly, particularly against weak dollar" Bednarik adds.
The 20-day EMA remains key resistance
Despite the increase in participation from buyers in the last trading days, the 20-day EMA still presents a stiff resistance for the AUD/USD, with the last attempts through 0.9560 meeting with strong selling interest.
RBA minutes to provide clues?
One of the main reasons to blame for such a sustained period of weakness in the AUD/USD through May is the RBA economic policy, with the central bank having embarked on a new easing phase to adjust the economy to its new fundamental landscape.
Since the last meeting rates were unchanged, the market will be looking for tips on upcoming movements.
According to Valeria Bednarik, Chief Analyst at FXstreet.com, "a dovish statement or the possibility of another rate cut in the near future, will put Australian dollar under pressure, particularly against strong yen."
On the other hand, "if somehow the Central Bank results to offer a more optimistic outlook and rate cuts are not tip toed for upcoming months, Aussie may surge strongly, particularly against weak dollar" Bednarik adds.