AUD/USD is trading at 0.7657, up 0.62% on the day, having posted a daily high at 0.7691 and low at 0.7598.
AUD/USD has met supply after the rally of 0.7% at 0.7689 and is now consolidating the downside. The RBA left rates on hold at a record low of 1.5% as widely expected, but the statement was a surprise indicating that the bank are concerned about the real estate market overheating while they wish to keep inflation below the the 2% and 3% target band. The statement also said that the strong job markets and solid growth figure mean that the bank is in no hurry to add further stimulus.
"China's PMI also surprised on the upside. The official manufacturing reading rose to 51.2 from 50.4. This is a two-year high, well above the 50.3 median forecast in the Bloomberg survey, and the third month above 50. The non-manufacturing PMI rose to a new high for the year. It stands at 54.0 from 53.7. Caixin's manufacturing PMI rose to 51.2 from 50.1. This is also a two-year high. It gives further support to our contention that Chinese policymakers have the will and wherewithal to ensure a soft economic landing," explained analysts at Brown Brothers Harriman.
Spot is presently trading at 0.7657, and next resistance can be seen at 0.7664 (Daily Classic R3), 0.7688 (Weekly Classic R1), 0.7691 (Daily High), 0.7722 (Monthly High) and 0.7776 (Weekly Classic R2). Next support to the downside can be found at 0.7651 (Weekly High), 0.7649 (Hourly 20 EMA), 0.7643 (Daily Classic R2), 0.7627 (Hourly 200 SMA) and 0.7626 (Daily Classic R1).