The focus is on the latest Reserve Bank of Australia (RBA) interest rate announcement for the June 2024 monetary policy meeting.
As expected, the RBA kept interest rates at 4.35% for the fifth time in a row after last raising rates in November last year.
The Australian dollar fell in early reaction to the announcement before rebounding to gain at the close of the Asian session.
In the discussion of the members of the meeting, the measure of cutting the interest rate was not considered and did not even state the need to raise the rate.
Members of the meeting were cautious because they feared that too high interest rates would affect important sectors of the economy.
Against the US dollar, the Aussie dollar currency resumed positive trading at the opening of the European session this evening after the meeting ended.
Examining the chart of the AUD/USD currency pair, the bearish price tested the 0.66000 level as the reaction to the meeting took place, but a rebound in price was displayed.
After also testing the Moving Average 50 (MA50) support line on the 1-hour time frame on the chart, the price rose over 20 pips.
If the US dollar continues to weaken as it did yesterday, there is potential for price increases to continue after this.
The level around 0.66500 if overcome will expect a higher rise towards the resistance zone at 0.67000.
However, if the price falls below the 0.66000 level again, it will be a sign that the bearish movement of last week will continue again.
An extended decline to the downside is seen to target around the previous concentration zone at 0.65500-0.65400.
