AUD/USD clings to gains but remains capped below 200-DMA post-RBA

The AUD/USD pair maintained its bid tone for the second straight session, albeit remained capped below the very important 200-day SMA post- RBA decision. 

Currently trading around 0.7440-50 region, the pair had a muted reaction to RBA announcement to hold its key benchmark interest rates steady, at historically low level of 1.5%, quoting   . 

Meanwhile, the disappointing release of China Caixin PMI, coming-in at 50.3 for April as compared to 51.2 recorded in March, failed to provide any additional boost to the China-proxy Australian Dollar. 

Adding to this, weaker commodity prices, especially copper, also collaborated towards putting a lid on the pair's up-move.

Technical levels to watch

A follow through momentum has the potential to lift the pair further towards 50-day SMA hurdle near 0.7590 region, above which a fresh bout of short-covering seems to pave way for continuation of the pair's recovery move further towards 0.7635-40 horizontal resistance.

On the flip side, renewed weakness below the key 0.75 psychological mark is likely to accelerate the slide back towards 0.7485 horizontal support before the pair eventually slide further towards an important support near 0.7460-50 region.