empty
09.07.2025 11:35 AM
AUD/USD. Analysis and Forecast

This image is no longer relevant

.

The AUD/USD pair is holding steady at current levels with a bullish bias but limited movement following the release of inflation data from China—Australia's key trading partner.

In June, China's Consumer Price Index (CPI) rose 0.1% year-over-year, following a 0.1% decline in May. Meanwhile, monthly CPI declined by 0.1%, and the Producer Price Index (PPI) fell by 3.6% year-over-year, worse than the expected -3.2%. These figures point to ongoing price pressure in the Chinese economy.

The Australian dollar was also affected by comments from Reserve Bank of Australia (RBA) Governor Michele Bullock, who highlighted persistent inflation risks due to high labor costs and low productivity. She also noted that the full impact of the previous 50-basis-point rate cuts has yet to be realized. At its most recent meeting, the RBA kept the official interest rate at 3.85%. According to a Reuters poll, economists expect the RBA to cut the official rate by 25 basis points to 3.60% in August.

RBA Deputy Governor Andrew Hauser stated that the global economy faces enormous uncertainty and that the tariffs introduced by Donald Trump are significant for the global economy and will put pressure on growth.

From a technical perspective, the Relative Strength Index (RSI 14) is slightly above 50, confirming a moderately bullish sentiment. However, the price has yet to break above the 9-day EMA (around 0.6535), indicating limited short-term momentum.

The key resistance level is the 9-day EMA at 0.6535; a successful breakout above this level could strengthen bullish momentum and bring the price closer to the eight-month high of 0.6590, recorded on July 1. The next target would be the psychological level of 0.6600.

In the event of a pullback, support lies at the Asian session low near 0.6510, followed by the psychological level of 0.6500 and the 50-day SMA. A break below these levels would weaken the pair, potentially bringing it down to the 0.6400 level and testing the two-month low around 0.6372.

The table shows the percentage change in the Australian dollar against major currencies for today. The Australian dollar was the weakest against the U.S. dollar.

This image is no longer relevant

Irina Yanina,
Analytical expert of InstaForex
© 2007-2025
Summary
Urgency
Analytic
Irina Yanina
Start trade
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

The European Central Bank May Postpone Its Rate Cut Until December

While the euro attempts to stage a correction against the U.S. dollar, a survey of economists suggests that the European Central Bank may delay its final interest rate cut until

Jakub Novak 11:37 2025-07-18 UTC+2

Powell Responds to White House Criticism

Lately, Federal Reserve Chair Jerome Powell has faced increasing pressure, coming under fire from lawmakers, the White House, and U.S. President Donald Trump. In a letter sent on Thursday, Powell

Jakub Novak 11:26 2025-07-18 UTC+2

The U.S. Begins Regulating the Digital Currency Market (Potential for a Correction in Bitcoin and EUR/USD)

The U.S. House of Representatives has passed bills establishing the first federal framework for dollar-backed stablecoins and setting regulations for other digital currencies. The idea of regulating the cryptocurrency market

Pati Gani 09:28 2025-07-18 UTC+2

The Market Favors a Weak Dollar

What could be better for the S&P 500 than a Federal Reserve rate cut amid a still-strong economy? A series of positive labor market and retail sales data, combined with

Marek Petkovich 09:28 2025-07-18 UTC+2

What to Pay Attention to on July 18? A Breakdown of Fundamental Events for Beginners

Several macroeconomic reports are scheduled for release on Friday, but none of them are of major importance. The only noteworthy release is the University of Michigan Consumer Sentiment Index

Paolo Greco 06:13 2025-07-18 UTC+2

GBP/USD Overview – July 18: Is the Market Tired of the Dollar and Trump?

The GBP/USD currency pair once again leaned toward decline on Thursday. After the British pound strengthened on Wednesday evening following another report about Powell's dismissal, the dollar quickly recovered. However

Paolo Greco 03:56 2025-07-18 UTC+2

EUR/USD Overview – July 18: Trump Will Keep Trying to Fire Powell for Another Year

The EUR/USD currency pair continued its steady decline throughout Thursday. As a reminder, the forex market experienced an "explosion" on Wednesday evening. Donald Trump once again attempted to either fire

Paolo Greco 03:56 2025-07-18 UTC+2

Farce, Absurdity, and a Drama Series

Since Donald Trump continues his attempts to remove Jerome Powell from the position of FOMC Chair, it's worth taking a closer look at this topic. All recent news is well

Chin Zhao 00:26 2025-07-18 UTC+2

The Bearish Trend in USD/CAD Is Nearing Its End

Canada's Consumer Price Index rose in June from 1.7% y/y to 1.9%, while core inflation increased from 2.5% y/y to 2.7%. This growth remains within an acceptable range —

Kuvat Raharjo 00:26 2025-07-18 UTC+2

AUD/USD: Knockout for the Aussie

The Australian dollar fell sharply against the U.S. dollar on Thursday, updating local price lows. The decline is driven not only by the overall strengthening of the greenback but also

Irina Manzenko 00:25 2025-07-18 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.