Trade the Aussie on CPI Data Today

Australian dollar traders are preparing for a busy morning today, with key inflation data due out in the morning session that could move the currency out of its recent tight range. The Aussie has been trading in a relatively tight range for the last week since charging higher from annual lows hit earlier in the month, as the USD collapsed. The last week has seen the pair kept within a 0.6330/0.6450 range, and a big deviation from expectation on today’s data could see this broken.

Expectation is for the quarter-on-quarter number to show a 0.8% increase, with the year-on-year number coming in with a 2.3% increase—still slightly above the 2% that the Reserve Bank would like to see it at. Anything north of these estimates could see the currency break higher, as expectations for a cut from the RBA are pulled back, whilst a lower number would give the green light for further cuts and see the pair drop back into lower ranges seen earlier in the month.

Resistance 2: 0.6775 – Long-Term Trendline Resistance
Resistance 1: 0.6449 – Trendline Resistance and 2025 High

Support 1: 0.6320 – April 15 Low
Support 2: 0.5912 – Trendline Support and 2025 Low

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