Australian Greenback (AUD) slipped modestly in early commerce after Might CPI got here in decrease at 2.1% y/y (vs. expectations of two.3%). AUD was final seen at 0.65 ranges, OCBC’s FX analysts Frances Cheung and Christopher Wong notice.
Bearish momentum on each day chart exhibits indicators of fading
“Trimmed imply CPI was additionally decrease at 2.4% y/y (vs. 2.8% prior). Softer print additionally added to expectations for RBA to chop charges at subsequent assembly in Jul. That stated, AUD reversed the modest losses as mushy USD momentum seems dominant.”
“Bearish momentum on each day chart exhibits indicators of fading whereas RSI rose. Resistance at 0.6550 ranges. Help at 0.6485, 0.6450 ranges (50 DMA). Easing of geopolitical tensions and trace of dovish tilt stays supportive of risk-sensitive AUD.”
