AUDUSD trades slightly lower today as the pair continues the consolidation phase to three-week lows after the correction from 2-month highs. The recent RBA meeting kept the door open for future interest rate cuts following the two consecutive cuts in June and July this year. Economists expect a 25 bps cut in the next meeting as a possible scenario.
AUDUSD trades 0.01% lower at 0.6750 as the short term technical outlook is bearish as the pair returns inside the consolidation area (yellow rectangular). On the downside, first support for AUDUSD stands at 0.6745 today’s low, while more bids will emerge at 0.6738 the lower band of the August consolidation area (yellow rectangular in the chart) as we mention in “AUDUSD Bears Targeting 0.6738” article, A break below that level will open the way for a visit down to 0.6688 the low from August 26th. On the upside now first resistance stands at 0.6763 today’s high and then at 0.6816 the 50-day moving average while next hurdle stands at 0.6883 the 100-day moving average. All in all the bears are in control of AUDUSD as long as the pair trades below 0.68.