Volatility based around the war in Ukraine has made the road rocky in the Australian Dollar (AUD), Euro (EUR) cross. Add in rising inflation, the other market driver at the moment and we have a poor mix of sentiment resulting in some big shifts. The Aussie ended the week at the same spot it started, around the 0.6710 (1.4900) area after reaching 0.6810 (1.4680) during late Friday sessions before giving back gains as risk turned sour. Today’s RBA statement and interest rate release is our focus with a rise to 0.25% from 0.10% widely on the predicted. The last time the RBA hiked rates was 1 November 2010. More monetary tightening is expected over the coming months to curb rising inflation. We predict a retest of 0.6580 (1.5200) in the coming days.
Current Level: 0.6732 (1.4855)
Resistance: 0.6765 (1.5100)
Support: 0.6620 (1.4780)
Last Weeks Range: 0.6643-0.6810 (1.4684-1.5052)