The Australian Dollar (AUD) gapped to 0.6550 off the weekly close of 0.6500 against the US Dollar (USD) Monday before falling back in early Tuesday to 0.6485. Wednesday’s release of the CPI y/y holds our focus with predictions of a rise from September’s 2.1% to 2.5% in October. The release shouldn’t have much offshoot for the Reserve Bank of Australia (RBA) with the recent RBA minutes suggesting the central bank has no immediate need to cut interest rates saying they would need more than 1 good inflation report to sway them. Support at 0.6485 has held signalling we could see a small lift in the Aussie this week.
Current Level: 0.6505
Resistance: 0.6700
Support: 0.6440
Last Weeks Range: 0.6447- 0.6544