AUD/USD: RBA minutes in focus; bearish below firm downtrend

AUD/USD: RBA minutes in focus; bearish below firm downtrend
FXStreet (Guatemala) – AUD/USD is currently trading 0.7370 with a high of 0.7385 and a low of 0.7370.

AUD/USD is a subdued start to the week in thin markets and a quiet looking day ahead with Japan out on holiday.

AUD/USD recovered at the end of last week from the subsequent decent of supply from 0.7480 territory on a more hawkish tone from Yellen while the markets switch back to concentrating on the Central Banks and global divergences. For this week, markets will be looking in on the RBA minutes for clues as to whether the Central Bank is likely to hold off from further easing, while noting that the Grexit/Shanghai Composite issues stabilising, the better than expected data from China of late with employment in Australia steadying, all allowing the RBA to shift back towards a more neutral territory.

Technically bearish below 0.7588 downtrend

AUD/USD is still in bearish territory and trades well below the 0.7588 downtrend that keeps pressures on the pair. The 0.7177 is the base of the two year channel which is a longer term target to the downside while a sell on rallies may remain the theme with 0.7542 coming in as a key resistance in the first instance ahead of 0.7588. A cent lower at 0.7480 guards 0.7520 on minor recoveries.
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Source: FXStreet