The pair fails to firmly break above the 100-hour MA
Similar to the NZD/USD earlier here, the AUD/USD is unable to find a firm break above the 100-hour MA and is slipping on the day. The pair is trading at session lows of 0.7560 at the moment, though the range on the day is still relatively narrow.
Looking ahead, there is the RBA meeting tomorrow but it is largely expected to be a non-event once again. The key day this week for the aussie will be Thursday. There is trade balance data due on the day but there are also key options expiring.
At 0.7500, there is an expiry amounting to AUD 783m currently and at 0.7600 there is one for the amount of AUD 529m. At the moment there are large option-related bids/offers lined up just above/below those strikes mentioned.
So, expect those levels to come into play should we move to either side of the figure levels during the week.
But given that buyers have failed to break above the 100-hour MA once again, the move in the near-term is still suggestive of one to the downside towards 0.7500. But first, the pair needs to take out support from June last year @ 0.7535 - which stalled the downside move on Friday.
