Sean Callow, analyst at Westpac, explains that the AUD/USD pair has shown every sign of breaking 0.7000 last Friday but ultimately printed a low of 0.7003, which lends confidence to the view that the Aussie has absorbed enough punishment for now in terms of markets pricing in RBA easing. Key Quotes “Rates markets price >100% chance of a cut by August which aligns with our view, but the 45% chance of a cut by May seems rather high given the RBA’s current growth forecasts, its neutral rhetoric and the strong labour market data it likes to highlight (the Feb report is obviously keenly awaited next Thursday).” “Admittedly, AUD’s commodity price support has slipped a little in recent days. But the Aussie still appears to be on the cheap side of the fair value range.” “Our expectation that the US dollar trades on the back foot around the FOMC meeting should help AUD/USD find buyers on dips near term but the 50dma at 0.7137 and 100dma at 0.7160 will be difficult to break.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next EUR/GBP bounces off lows, regains 0.8500 and above FX Street 4 years Sean Callow, analyst at Westpac, explains that the AUD/USD pair has shown every sign of breaking 0.7000 last Friday but ultimately printed a low of 0.7003, which lends confidence to the view that the Aussie has absorbed enough punishment for now in terms of markets pricing in RBA easing. Key Quotes "Rates markets price >100% chance of a cut by August which aligns with our view, but the 45% chance of a cut by May seems rather high given the RBA's current growth forecasts, its neutral rhetoric and the strong labour market data it likes to highlight (the Feb report… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
