AUD/USD fails near 0.7550 on RBA, attacks 0.7500

The offered tone behind the AUD remains intact after the RBA left its official cash rate unchanged at a record low of 1.75%, sending the AUD/USD back towards 0.7500 levels.

AUD/USD pops and drops on RBA status-quo

Currently, the AUD/USD pair almost unchanged at 0.7537, hovering close to post-RBA highs reached at 0.7544. The Aussie caught a fresh bid tone in a knee-jerk reaction the RBA’s rates on hold monetary policy decision, and remains on track to book a week-long run of gains.

However, the knee-jerk upward spike in the AUD/USD pair is seen fading as RBA leaves doors open for further easing at its next policy meeting, as cited in the policy statement, “Over the period ahead, further information should allow the Board to refine its assessment of the outlook for growth and inflation and to make any adjustment to the stance of policy that may be appropriate.”

Moreover, markets continue to digest a weak set of Aus fundamentals released earlier on the day, adding to the downward pressure on the major. Next in focus remains the US factory orders data as dust settles over the RBA’s inaction today.

AUD/USD Levels to watch   

The pair finds the immediate resistance at 0.7550 (round number) above which gains could be extended to the next hurdle located at 0.7594 (daily R2). On the flip side, the immediate support located at 0.7451/48 (10-DMA/ Jul 4 low). Selling pressure is likely to intensify below the last, dragging the Aussie to 0.7352 (50-DMA).