- Australian Dollar corrected from the 0.7150 low and currently facing a major resistance near 0.7250-60.
- If the AUDUSD pair fails to break the stated resistance area, more gains are likely moving ahead.
- Today, the minutes of the Reserve Bank of Australia meetings were published, which failed to ignite a break.
- Australian House Price Index released by the Australian Bureau of Statistics posted an increase of 2% in terms of the quarterly change.
AUDUSD Technical Analysis
The AUDUSD pair managed to recover recently, and also climbed above the 100 hourly simple moving average. However, the most important point is the fact that the pair is facing a major hurdle near a bearish trend line on the hourly chart.
The 200 hourly MA is also positioned with the highlighted trend line and resistance area. Moreover, the 61.8 Fib retracement level of the last drop from the 0.7330 high to 0.7150 low is also positioned around it.
In short, the pair needs to break the 0.7250-60 resistance area if it has to move higher further. On the downside, the 100 MA may act as a support area and prevent losses if the AUDUSD pair moves lower from the current levels.
Australian House Price Index
During the Asian session, the Australian House Price Index, which shows changes in housing prices of major cities in Australia was released by the Australian Bureau of Statistics. The forecast was lined up for an increase of 2% in terms of the quarterly change. The outcome was as forecasted as the Australian House Price Index rose 2%.
When we look at the yearly change, then the Australian House Price Index increased 10.7%, which was more than the last rise of 9.8%. The report stated that “capital city residential property price indexes rose in Sydney (+3.1%), Melbourne (+2.9%), Brisbane (+1.3%), Adelaide (+1.2%), Canberra (+1.3%) and Hobart (+0.5) and fell in Perth (-2.4%) and Darwin (-0.4%)”.
Overall, the report was positive, and helped the Aussie Dollar to some extent. The AUDUSD pair gained traction, but it looks like it is struggling near the last swing high of 0.7250-60 where there is a tough resistance forming.