On Tuesday the AUD/USD pair closed with a decline to 29 March afternoon session lows. It should be noted trading activity was high due to numerous important macroeconomic releases.
In the morning session, the pair showed moderate growth after the results of the RBA meeting were announced. Analysts’ expectations were confirmed, as the Regulator decided to keep interest rates unchanged at 2%.
However, macroeconomic statistics for February was a bit disappointing. Exports were down by 1% after a 1% growth in the previous month. Imports showed no changes compared with the previous decline of 1%. As a result, Australia’s trade deficit widened from 3156 AUD million to 3410 AUD million. Analysts expected the indicator to be up to -2600 AUD billion.
Support and resistance
on the is moving sideways while the price range is widening from the bottom. is falling and keeping a relatively strong sell signal. is approaching the border of the oversold zone.
The indicators recommend waiting for clearer trading signals.
Support levels: 0.7533, 0.7500 (28 April psychological level), 0.7476, 0.7426 (near 16 March low), 0.7400.
Resistance levels: 0.7567 (6 April morning session high), 0.7593, 0.7626, 0.7679 (17 March high), 0.7772 (31 March high), 0.7755, 0.7800.
Long positions can be opened if the price breaks out and consolidates above the level of 0.7593 (with appropriate indicators signals) with targets at 0.7679, 0.7722 and stop-loss at 0.7550. Validity – 2-3 days.
Short positions can be opened if the price breaks down the level of 0.7500 with the target at 0.7400 and stop-loss at 0.7533. Validity – 2-4 days.