AUD/USD Awaiting Stevens or Not Really?

AUD/USD Awaiting Stevens or Not Really?

AUD/USD remains in a tight range in a very quiet Asian session following on from a lackluster day on Wall Street, bar oil and the Yen.

The Yen took the spotlight in a continuation of the weekends G7 discussions where Japan and the US are at heads with Central Banks at war currency wars with one another.

so far, the Aussie has only been able to recovery up to the 20 sma on the 1hr time frame 0.7224, propped up by WTI oil that managed a small recovery of less than a dollar up to the 1hr 100 sma at $48.16bbls.

AUD/USD not awaiting Stevens

We will now await RBA governor Stevens for the session, but the markets have likely made up their minds to the outcome of that being neutral in respect to the subsequent minutes to when the RBA cut rates at a close call in opinions between members of the Central Bank, signalling that the RBA will be on hold for the foreseeable future. The highlights for the week should remain with Yellen and US GDP at the end of the week.

AUD/USD levels

AUD/USD dropped below the 200 dma earlier in the month and this located at 0.7276 today. The recovery has been capped by the 100 sma on the 1hr sticks (0.7235 today) from the fresh May lows of 0.7174. That level was located at 0.7365 on 12th and 16th of May.

"In the 4 hours chart, the price is now aiming to advance above a bearish 20 SMA, whilst the technical indicators present modest bullish slopes, with the RSI indicator still far below its mid-line and the Momentum indicator around its mid-line. At this point, the price needs to advance above 0.7250, the immediate resistance, to be able to shrug off the negative tone and be able to recover up to 0.7330, the 50% retracement of this year's slump," explained Valeria Bednarik, chief analyst at FXStreet.