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AUDUSD finding short-term support after RBA rate hold

jeffriess
February 4, 2020
by Joseph Jeffriess, Market Analyst

Has the RBA rate hold set up a floor for the AUDUSD?

Looking at the weekly and daily AUDUSD we can see price has held at .6683 after last weeks action broke .6725 support. That was an important level that had held for the AUDUSD since AUG 2019.

The RBA held rates despite some looking for a 25 point cut, this instantly gave the AUDUSD a boost. Buyers gained just over 0.60% at one stage during the day. For now, we would like to see buyers hold .6685 and break back above the previous weekly support level. Any close below .6677 starts to suggest sellers still have the numbers and that there’s a possibility this current down leg could have further to go.

Our market video below runs over the RBA rate meeting and its effect on price. We also go over the above levels and price action on the daily and weekly AUDUSD price charts.

Good trading from Eightcap.
All times are AEDT.