AUD/USD (current price: 0.7505)
AUD/USD hit 0.75, falling 3% from an intraday high of 0.7720 after the announcement by the Royal Bank of Australia. The currency also dragged the New Zealand Dollar lower as investors think that the local central bank will follow the path of the neighboring country in the near future. Australian Building Approvals posted a surprising gain before the decision, but that didn’t help the Aussie that fell below key technical levels yesterday.
Our assessment: The Aussie might continue Tuesday’s decline as the short-term trend turned bearish thanks to the sharp fall. The 0.741 level is the next possible support for the pair.
