Focusing on the Asian session this morning, the results of the Australian central bank (RBA) policy meeting saw interest rates maintained at 4.35%.
However, the market focused on the answers by the RBA governor Michele Bullock through the questions asked by the media for further monetary policy guidance.
The central bank is still focused on the objective of lowering inflation to the 2% target before deciding on the next step whether interest rate cuts should be made or otherwise.
Analysts assess that the RBA remains hawkish when it does not change its previous statement, which is to continue further policy tightening if necessary.
The decision to set the monetary policy after this will depend on the economic data that will be present.
Examining the price chart of the AUD/USD currency pair, the price is seen to have successfully displayed a moderate recovery in the Asian session this morning.
If observed yesterday, the price has shrunk lower below the 0.65000 zone to reach around 0.64700 following the momentum of the strengthening pressure of the US dollar which has continued since the end of last week.
The positive reaction to the NFP jobs report last Friday is expected to continue to give the US dollar an advantage this week.
The price movement connecting to the European session this afternoon is seen to be above 0.65000, but the recent increase stalled at the Moving Average 50 (MA50) barrier on the 1-hour time frame of the chart.
If the price fails to continue the increase, instead the price drops below 0.65000, it is likely that yesterday's downward trend will continue.
Passing the level reached yesterday, the decline will continue to the concentration zone around 0.64500.
However, if the price manages to continue its surge higher after this, the zone around 0.65500 will be the closest focus to test and react.
Next, the increase continues towards the height of 0.66000 for the price to test the resistance zone.
