The technical picture is considerably more bearish now, as we see risk assets such as stocks and the Australian Dollar hit by fears over inflation, the outside chance of a 0.50% rate hike by the US Federal Reserve tomorrow, coronavirus lockdowns in China, and the continuing war in Ukraine which has no end in sight.
The Reserve Bank of Australia released the minutes of its most recent meeting a few hours ago, which contained no real surprises, just the expected pessimistic inflation outlook. The release did not really affect the price of the AUD, but it is certainly not going to boost it.
The price has moved down decisively and printed new lower resistance levels, although the fall has halted. The price is now consolidating just below the resistance level at 0.7207.
Given the generally bearish environment for the AUD and the long-term strength in the US Dollar, I will be happy to take a short trade from a bearish reversal at either 0.7207 or 0.7259 if either trade sets up today.
The Reserve Bank of Australia released the minutes of its most recent meeting a few hours ago, which contained no real surprises, just the expected pessimistic inflation outlook. The release did not really affect the price of the AUD, but it is certainly not going to boost it.
The price has moved down decisively and printed new lower resistance levels, although the fall has halted. The price is now consolidating just below the resistance level at 0.7207.
Given the generally bearish environment for the AUD and the long-term strength in the US Dollar, I will be happy to take a short trade from a bearish reversal at either 0.7207 or 0.7259 if either trade sets up today.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.