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3 Mar 2015
AUD/USD steadies above hourly 100-MA
FXStreet (Mumbai) - The AUD/USD pair is consolidating above the hourly 100-MA located at 0.7822, after having gained sharply from the low of 0.7750.
Will the Aussie extend gains?
The AUD gained earlier today after the Reserve Bank of Australia (RBA) kept the cash rate unchanged at 2.25%. The bank had cut interest rates last month, taking it to the level last seen in 1950s. After a slew of weak economic data, markets were expecting for another rate cut, which did not materialize. Consequently, the gains could be extended further.
However, the bank gave a strong hint that it would follow up its February cut, the first in 18 months, with another reduction in the coming months. Hence, it remains to be seen whether the markets focus on the dovish guidance or push the Aussie higher on the latest decision to keep rates unchanged.
AUD/USD Technical Levels
The pair currently trades 0.82% higher at 0.7830. The immediate resistance is seen at 0.7852, above which gains could be extended to 0.7913 levels. On the flip side, support is seen at 0.7814 (hourly 200-Ma) and 0.7750 levels.
Will the Aussie extend gains?
The AUD gained earlier today after the Reserve Bank of Australia (RBA) kept the cash rate unchanged at 2.25%. The bank had cut interest rates last month, taking it to the level last seen in 1950s. After a slew of weak economic data, markets were expecting for another rate cut, which did not materialize. Consequently, the gains could be extended further.
However, the bank gave a strong hint that it would follow up its February cut, the first in 18 months, with another reduction in the coming months. Hence, it remains to be seen whether the markets focus on the dovish guidance or push the Aussie higher on the latest decision to keep rates unchanged.
AUD/USD Technical Levels
The pair currently trades 0.82% higher at 0.7830. The immediate resistance is seen at 0.7852, above which gains could be extended to 0.7913 levels. On the flip side, support is seen at 0.7814 (hourly 200-Ma) and 0.7750 levels.