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AUDUSD Reaction on RBA Statement

AUDUSD is declining today following the RBA statement which released earlier today. The central bank left its benchmark interest rate at record low 2.50%. According to the RBA governor Glenn Stevens, Australian dollar is still above its fundamental value and thus supporting less than it is expected to achieve a balanced growth in the economy.


AUDUSD : 4 Hour Chart

On the 4 hour chart, the pair has confirmed the bearish pattern by breaking below the rising wedge pattern. The pair after breaking the wedge tried to remain above the support at .9334 but it was not able to hold the gains after the RBA statement and declined below it extending its losses to find the next support level at .9274. Most probably the pair should rise from this support level. However if the pair continued to decline, the next support level it may find is at .9262.

AUDUSD : Daily Chart

On the daily chart, the pair was consolidating within a symmetrical triangle and broke down from the support trend line of the triangle confirming a bearish trend. The immediate support it may find will be at .9236. If it continues to decline below this support level, the next key support which might prevent the pair declining further down will be at .9208. On the other hand investors now shall be looking at the US ISM manufacturing data releasing today at 10:00 AM EDT might also extend losses if beats the economist's expectations.