AUD/USD has been belted in recent weeks as the USD bullied every major FX pair. The selling is overdone and into major support ahead of the FOMC meeting tonight.
Yesterday the RBA raised rates by 0.25% to 0.35% and we have begun the rate hike cycle with the central bank refocused on inflation.
We look for buy the rumour sell the fact USD selling tonight after the FED rate hike or for the bond market to begin pricing in more Australia rate hikes than currently priced in.
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