03, June 2016

AUD/USD (a 4-hour chart)

AUD/USD (a 4-hour chart)

General overview

The Australian dollar fell after the retail sales report in Australia. The index came worse that expected. The RBA may low its interest rates to 1.0% from the current 1.75%. The next RBA meeting will take place on 7th of June.

Current situation

The Australian dollar remained in a flat. The pair was traded near the mark of 0.7270. From a technical point of view the pair looks bearish. The resistance is at the level of 0.7270, the support lies at 0.7140.

MACD is in a positive area. The histogram is below the signal line. MACD keeps decreasing. RSI is in a neutral zone giving no signal.

Trading recommendations

If the price fixates below the support 0.7140, it may continue the downward trend in the short term. The potential target is 0.7040. We do not exclude the growth to 0.7270.