AUD/USD: we await the RBA minutes and FOMC

By FXStreet FXStreet (Guatemala) – AUD/USD is currently trading at 0.7136 with a high of 0.7139 and a low of 0.7133 in early Asia.

This is a big week for the greenback and AUD/USD has been flexing its muscles in the absence of certainty around whether the Fed will actually be in a position to hike rates this week or not.

AUD/USD and RBA minutes

The majority are in the camp that they will not but, there bets coming across the table for a 25bp hike from the Fed, which may be damaging to the major commodity currency in an otherwise deflationary global economy elsewhere. However, before the FOMC, the RBA minutes today. The RBA minutes should reiterate that the central bank is far away from easing policy. Analysts at TD Securities explained, “We see this as AUD positive… If the Fed is dovish this week, we expect AUD to be the better performer within G10 commodity-linked FX.

AUD/USD levels

Technically, AUD/USD is in a better position now to target the 0.7165 level on the Elliott-count intraday. Thereafter, rallies may find tough resistance at the 0.72 handle and the highs scored toward the end of August business. To the downside, the 200 SMA is positioned …read more

Source:: FX Street