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AUD/USD consolidates below 0.9800 after RBA minutes release

FXstreet.com (Barcelona) - After trading as high as 0.9808 earlier in the session, the Aussie is now drifting lower towards the 0.9775 level as market participants being to look over the recent released RBA minutes which hit the tape at 1:30GMT.

According to analysts at FXStreet.com, “minutes of the monetary policy meetings of the Reserve Bank Board from last May, when rates were cut by an additional 0.25 bp to 2.75%, have been published. In summary, there was nothing new on the report that the market didn't know already, thus the first quarter CAPEX figures remain critical for the June policy meeting decision."

The FXStreet.com Trend Index remains slightly bullish on the 1 hour chart, while the OB/OS index reads neutral. Initial resistance remains at 0.9820 (high price of previous day), followed by 0.9890 (the 9dma on 1 hour chart). First support sits at 0.9730 (previous day low), followed by 0.9660 (weekly chart support). Short term moving averages on the 1 hour chart remain in bearish set up, with price consolidating below the 9 and 20 dma’s.

RBA minutes keeps dovish tone

Minutes of the monetary policy meetings of the Reserve Bank Board from last May, when rates were cut by an additional 0.25 bp to 2.75%, have been published. In summary, there was nothing new on the report that the market didn't know already, thus the first quarter CAPEX figures remain critical for the June policy meeting decision.
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Flash: We see EUR trading towards its lows near 1.20 over 12 months – RBS

The EUR/USD finished the day up 64 pips at 1.2884, and while some analysts see the pair trading in a relatively stable range in the short term, it’s the longer them that has them more concerned.
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