The Australian Dollar (AUD) kicked off the week well bouncing back from last week’s slide lower to 0.5045 (1.9830) but regained earlier downside momentum shifting lower to 0.5030 (1.9890) in early Tuesday. Australian GDP prints Wednesday and is predicted to edge higher y/y to 2.6% from 2.5%. Chancellor Reeves thinks the Pound may struggle from the March budget event, the bank could view lower spending as a reason to open up more cuts inline with the BoE recent dovish shift. We expect a retest of 0.5000 (2.000) as the week progresses.
Current Level: 0.5026
Support: 0.5000
Resistance: 0.5100
Last week’s range: 0.5026- 0.5065