4 Feb 2014
AUD/USD erases gain, back to 0.8750 ahead of RBA
FXStreet (Córdoba) - The AUD/USD finished Monday around 0.8750, the same price level it close last Friday. During the American session the pair jumped to 0.8832 after economic data from the US but retreated quickly and turned to the downside as stocks in Europe and Wall Street tumbled.
Technical outlook for the AUD/USD
The pair continues to move sideways unable to confirm levels on top of 0.8810 and holding above 0.8700. At 03:30 GMT the Reserve Bank of Australia will announce its decision on monetary policy, that is expected to have an impact on the Australian dollar.
According to Valeria Bednarik, Chief Analyst at FXStreet affirms: “the hourly chart shows price below its 20 SMA and indicators heading lower near their midlines, while in the 4 hours chart technical readings stand flat, with price right at its 20 SMA and indicators around their midlines”.
The pair is still facing pressure according to Bednarik, “steady gains above the 0.8820 level are required to deny the downward potential towards 0.8500”.
Technical outlook for the AUD/USD
The pair continues to move sideways unable to confirm levels on top of 0.8810 and holding above 0.8700. At 03:30 GMT the Reserve Bank of Australia will announce its decision on monetary policy, that is expected to have an impact on the Australian dollar.
According to Valeria Bednarik, Chief Analyst at FXStreet affirms: “the hourly chart shows price below its 20 SMA and indicators heading lower near their midlines, while in the 4 hours chart technical readings stand flat, with price right at its 20 SMA and indicators around their midlines”.
The pair is still facing pressure according to Bednarik, “steady gains above the 0.8820 level are required to deny the downward potential towards 0.8500”.