AUD / USD overview from April 20, 2021
AUD / USD continues its upward movement and at the time of writing this review is quoted at 0.7790.
The Reserve Bank of Australia held a monetary policy meeting today and announced the continuation of the current exchange rate without any adjustments. The target interest rate is 0.1%. The volume of the asset purchase program is $ 100 billion over 5-10 years at the rate of $ 5 billion a week.
The US dollar index continues to decline and reached the level of 90.940, although the Treasury yield per day increased from 1.54% to 1.62%.
Technical Analysis AUD / USD
According to the Daily chart, we do not exclude the formation of a head and shoulders pattern. At the moment, the right shoulder is being built. The Alligator’s averages are spreading upward, the awesome oscillator has moved into the positive area.
In case of continued growth and consolidation above 0.7864, the head-shoulders pattern is canceled and long positions with a take profit at 0.8000 become relevant. Set the stop loss at 0.7780.
The beginning of the pattern development will be indicated by a decline with the price fixing below 0.7700. From here we form sells with a take profit of 0.7562. Stop loss is set at 0.7760.