The Australian CPI data was released at today’s Asian session. The cross extended its losses after the RBA statement.
Australian Q2 CPI fell by 0.7% qoq, 0.8% was expected with the former value of 0.2%.
Australian CPI was 1.5% up in the q2, 1.7% was expected with the previous value of 1.3%.
RBA Governor Stevens said that Reserve Bank of Australia would cut interest rates further considering the scope. It is necessary to boost the national economy.
RBA’s goal is to achieve sustainable economic growth and maintain financial stability.
Technical view: The cross formed a double top at 0.7449, and strong supply zone is seen at 0.7500. The cross was trading at 0.7390 during the Asian session. In the daily chart, the recent movement brought the price to 0.7349. It is a key level to watch on a daily closing basis. The real selling ignites below 0.7230 for another 200 pips fall. The level of 0.7015 is a low hit back in March 2006.
The cross favors selling on rises with sl 0.7500 during a week. The intraday support is found at 0.7330 and 0.7300. Fresh selling is available below 0.7300 with targets at 0.7270, 0.7250, and 0.7230.
The material has been provided by InstaForex Company – www.instaforex.com