Aussie dollar slips further following RBA April policy decision. As expected RBA hold the rates, more concerned about the labour market and highlights the risks around household leverage.
April Monetary Policy summary:
Summary: The unemployment rate has moved a little higher and employment growth is modest.
Wage growth remains slow.
Recent data are consistent with ongoing moderate growth.
The rise in underlying inflation is expected to be a bit more gradual with growth in labour costs remaining subdued.
Growth in household borrowing, largely to purchase housing, continues to outpace growth in household income.
Risks associated with high and rising levels of indebtedness.
AUDUSD low made at 0.7545 manages to hold the 200Dsma on Tuesday session. The cross erased the three months rising trendline, potential support finds at 0.7525 and 0.7490 below these 0.7410/0.7400 exists. Alternatively, resistance seems at 0.7590/0.7600, 0.7640 and 0.77 levels.
AUDJPY- The cross erased the half the intraday losses on Tuesday session manages to close above 200Dema. The cross made a low at 83.16 (April 04) its 20Msma find at 82.90 and 200Msma at 82.40. On the daily chart, 200sma finds at 81.80.
Today Asia session, Japan March service industry PMI hits the wires. Service sector growth strengthens to 19-month high of 52.9, from a level of 51.3 in February.
On Asia session today, AUDJPY trading with 0.16% gains high 83.99. Support finds at 83.50,82.90 and 82.40. Trading resistance seems at 84.10, 84.60 and 84.90/85.00
AUDCAD- The cross has bene facing resistance at 20Dsma seems at 1.0200, trading range remains between 1.0100 and 1.0200. The cross remains in a consolidation range above the earlier breakout level at 1.0090. On the four-hour chart, AUDCAD spotted with a bearish H&S pattern breakdown below the neckline, aiming at 1.0090 and 1.0070 levels.
Resistance seems at 1.0160, 1.0200 and 1.0250.
Bulls can feel comfortable only after crossing these hurdles 1.0200 and 1.0250 decisively.