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28 Mar 2014
AUD, RBA Holds Its Tongue – RBS
FXStreet (Guatemala) - Strategists at RBS explained it is clear that the RBA feels that a weaker FX rate would assist in achieving balanced growth in the economy.
Key Quotes:
“But amid improving domestic indicators, we do not expect the RBA to jawbone the currency at its meeting next week, instead opting to refer to the currency once again as "high by historical standards."”
“The AUD has been resilient in the face of softening economic data in China and recently broke through the 200-day moving average”.
“Price action today around the 0.9282 resistance, which was a prior double bottom in late 2013, is discouraging and may mean a near-term consolidation is imminent with the pair approaching overbought on both the 14-day RSI and Bollinger Bank technical indicators”.
Key Quotes:
“But amid improving domestic indicators, we do not expect the RBA to jawbone the currency at its meeting next week, instead opting to refer to the currency once again as "high by historical standards."”
“The AUD has been resilient in the face of softening economic data in China and recently broke through the 200-day moving average”.
“Price action today around the 0.9282 resistance, which was a prior double bottom in late 2013, is discouraging and may mean a near-term consolidation is imminent with the pair approaching overbought on both the 14-day RSI and Bollinger Bank technical indicators”.