19 Jan 2015
AUD/USD declines on weak inflation outlook
FXStreet (Mumbai) - The AUD/USD pair fell from the session highs after the weak inflation outlook triggered speculation that the Reserve Bank of Australia (RBA) will hold interest rates at record lows for an extended period of time.
The AUD/USD pair currently trades 0.08% lower at 0.8222 levels, after having declined from the high of 0.8242 levels hit earlier today. The Aussie declined after the monthly inflation estimate declined to 1.5% year-on-year n December, from the previous figure of 2.2%. Month-on-month the reading was flat, compared to 0.1% gain in November. The decline triggered speculation that the RBA would hold the interest rate at record low of 2.5% for entire 2015.
AUD/USD Technical Levels
The immediate resistance is seen at 0.8248 (50-DMA), above which gains could be extended to 0.8293 levels. Meanwhile, support is seen at 0.8207 (5-DMA) and 0.8188 (10-DMA) levels.
The AUD/USD pair currently trades 0.08% lower at 0.8222 levels, after having declined from the high of 0.8242 levels hit earlier today. The Aussie declined after the monthly inflation estimate declined to 1.5% year-on-year n December, from the previous figure of 2.2%. Month-on-month the reading was flat, compared to 0.1% gain in November. The decline triggered speculation that the RBA would hold the interest rate at record low of 2.5% for entire 2015.
AUD/USD Technical Levels
The immediate resistance is seen at 0.8248 (50-DMA), above which gains could be extended to 0.8293 levels. Meanwhile, support is seen at 0.8207 (5-DMA) and 0.8188 (10-DMA) levels.