AUD/USD: Aussie reverses its losses in the Asian session


AUDUSD Movement

For the 24 hours to 23:00 GMT, the AUD declined 0.01% against the USD and closed at 0.7177.

LME Copper prices declined 0.1% or $8.5/MT to $6095.5/MT. Aluminium prices rose 1.6% or $29.5/MT to $1937.5/MT.

In the Asian session, at GMT0400, the pair is trading at 0.7190, with the AUD trading 0.18% higher against the USD from yesterday’s close.

The minutes of the Reserve Bank of Australia’s (RBA) December monetary policy meeting showed that the next move in the cash rate is more likely to be a rise than a decrease however it believed that there is no strong case for a near-term monetary policy adjustment. Further, the central bank warned that sluggish household consumption and declining real estate values pose key economic risks to the Australian economy..

The pair is expected to find support at 0.7174, and a fall through could take it to the next support level of 0.7158. The pair is expected to find its first resistance at 0.7203, and a rise through could take it to the next resistance level of 0.7216.

Looking ahead, investors would keep an eye on Australia’s Westpac leading index for November, slated to release overnight.

The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.

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