FxWirePro: Aussie falls After RBA's Monetary Policy Statement
- AUD/NZD is trading around 1.0796 marks.
- Pair made intraday high at 1.0858 and low at 1.0781 marks.
- Today RBA released monetary policy statements.
- RBA cuts inflation forecasts, GDP forecasts mostly unchanged yr average for 2016 revised up 0.5 ppt.
- According to RBA, underlying inflation seen at 1-2 pct end 2016 (previous 2-3 pct), 1.5-2.5 pct out to mid-2018 (previous 2-3 pct).
- In addition GDP seen at 2.5-3.5 pct end 2016 out to end 2017, 3-4 pct to mid-2018.
- According to RBA unemployment seen around current rate to mid-2017, before declining gradually.
- Intraday bias remains bearish till the time pair holds immediate resistance at 1.0927 marks.
- A daily close below 1.0819 will take the parity down towards 1.0735/1.0651 marks respectively.
- On the other side, a sustained close above 1.0927 will drag the parity higher towards 1.0976/1.1062/1.1123/1.1298/1.1317 levels.
We prefer to take short position in AUD/NZD at 1.0800, stop loss 1.0875 and target 1.0651 marks.