19 May 2015
AUD/USD: RBA minutes-led selling breaks bullish trendline
FXStreet (Bali) - The bullish trendline guiding the Australian/US Dollar short term bull trend since the mAY 5 RBA policy decision has been broken, a communication that sources of demand for the Aussie are on the retreat.
The ascending trendline, which connected May 5th and 12th lows, was penetrated around 0.7980 following the publication of the RBA minutes, which revealed the possibility for further rate cuts, by noting that further policy action is not limited by lack of guidance.
Despite the aforementioned trendline breakout, there is a secondary trendline (not as steep), by connecting April 22/23 with May 12 lows, that an intersection circa 0.7960, precisely the point of reversal post RBA minutes-led fall.
The ascending trendline, which connected May 5th and 12th lows, was penetrated around 0.7980 following the publication of the RBA minutes, which revealed the possibility for further rate cuts, by noting that further policy action is not limited by lack of guidance.
Despite the aforementioned trendline breakout, there is a secondary trendline (not as steep), by connecting April 22/23 with May 12 lows, that an intersection circa 0.7960, precisely the point of reversal post RBA minutes-led fall.