AUD/USD unfazed by the FOMC Minutes

• The FOMC Minutes came out hawkish but Aussie holds on.
• The AUD is currently trading in the 0.7740-0.7773 range.

The AUD/USD is trading at about 0.7757 virtually unchanged after the minutes from the Federal Open Market Committee came out rather hawkish. All members agreed that raising rates gradually was appropriate and they were upbeat on the economy’s outlook. More details here. 

The US dollar was stronger against the EUR, the British pound, the Japanese yen, and the NZD. However, the Aussie is containing the US dollar strength better than its rivals. The AUD/USD pair is still trading in its range between 0.7740 and 0.7773 still after the release, while the EUR/USD, the GBP/USD and the NZD/USD broke some key supports after the report.

The Aussie rallied in recent days on the back of comments made by the Chinese President where he said that China “should push for free trade”, open up its economy and lower tariffs on autos among others things. Adding to the positive sentiment toward the AUD are the prices of copper which have been rallying steadily since March 26. 

AUD/USD 4-hour chart 

The AUD/USD has rebounded from its 200-period simple moving average and is currently trading in the 0.7740-0.7773 range. Support lies at 0.7728, previous swing and at 0.7691 demand level. Resistance is seen at 0.7770 which is the high made on Tuesday and further up at 0.7845 swing low on March 13.