{"id":85699,"date":"2026-05-04T17:38:51","date_gmt":"2026-05-04T07:38:51","guid":{"rendered":"https:\/\/www.icmarkets.com\/blog\/?p=85699"},"modified":"2026-05-04T17:38:51","modified_gmt":"2026-05-04T07:38:51","slug":"trade-the-audusd-on-the-reserve-bank-of-australia-interest-rate-decision","status":"publish","type":"post","link":"https:\/\/www.icmarkets.com\/blog\/trade-the-audusd-on-the-reserve-bank-of-australia-interest-rate-decision\/","title":{"rendered":"Trade the AUDUSD on the Reserve Bank of Australia Interest Rate Decision"},"content":{"rendered":"\n

The Reserve Bank of Australia are set to update the market on their latest interest rate decision this week and the market is pricing in a good chance that we see another 25-basis point rate hike from them. Futures markets are pricing in the chance of a hike at around 80% which would take the Cash Rate up to 4.35% from 4.10% as the bank looks to combat sticky inflation \u2013 up to 4.6%  y\/y at the last print – that could get worse if the situation in the Middle East with regard to energy prices does not improve soon. The Australian jobs market is proving resilient in the face of the strong inflation numbers which has reinforced calls for a hike at this meeting.<\/p>\n\n\n\n

The Aussie dollar is trading near multi-year highs just above the 72-cent level and a \u2018hawkish hike\u2019 from the RBA on Tuesday should see the currency appreciate further and push into fresh topside ranges for the medium term. However, a \u2018dovish hike\u2019 with little in the way of an indication of further hikes to follow or even no hike at all \u2013 which is still a 20-25% chance \u2013 would lead to some good selling of the pair and push it back into recent levels.<\/p>\n\n\n\n

Short term resistance on the Daily Chart now comes in just above current levels while the June 2022 High just under 73-cents will be the next target, while initial downside support will come in around the 0.7100 level with stronger support around 0.6950.<\/p>\n\n\n\n

Resistance 2: 0.7282 \u2013 June 2022 High<\/p>\n\n\n\n

Resistance 1: 0.7227 \u2013 2026 High and Trendline Resistance<\/p>\n\n\n\n

Support 1: 0.7096 \u2013 Trendline Support<\/p>\n\n\n\n

Support 2: 0.6943 \u2013 Long-Term Trendline Support<\/p>\n\n\n\n

\"\"<\/a><\/figure>\n\n\n\n

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The Reserve Bank of Australia are set to update the market […]<\/p>\n","protected":false},"author":8,"featured_media":85700,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[462],"tags":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/posts\/85699"}],"collection":[{"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/comments?post=85699"}],"version-history":[{"count":1,"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/posts\/85699\/revisions"}],"predecessor-version":[{"id":85702,"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/posts\/85699\/revisions\/85702"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/media\/85700"}],"wp:attachment":[{"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/media?parent=85699"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/categories?post=85699"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.icmarkets.com\/blog\/wp-json\/wp\/v2\/tags?post=85699"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}