When are the RBA minutes and how could they affect AUD/USD?

RBA minutes overview

The RBA minutes are due today at 0130GMT after the RBA, as widely expected, left the official cash rate at 1.50% at its August meeting, unchanged yet again. The minutes fall on the same week as the Aussie jobs again and the value of the Aussie remains high, albeit back below the 0.79 handle. Nevertheless, both jobs and the currency are key areas for the RBA and markets will be looking closely for matters around them within these minutes today. However, markets are not expecting any surprises or anything that was not already recently communicated in the SoMP and Governor Lowe's parliamentary testimony where he said the global economy has strengthened and he does not expect full employment for at least 2.5 years. In respect to the strength of the Aussie, RBA's Lowe explained that they are prepared to intervene in teh currency, but just not at the moment.

How could the minutes affect AUD/USD?

For the downside, 0.7571 on the wide is a key weekly support below 29 June highs of 0.7712. Valeria Bednarik, chief analyst at FXStreet explained that from a technical point of view, the pair remained contained by a daily descendant trend line coming from early August, and while still in range, the scale is leaning towards the downside. as in the 4 hours chart, the price remains below its 20 SMA, whilst technical indicators turned south, entering bearish territory. "The trend line stands this Tuesday around 0.7890, while last week's low at 0.7838 is the immediate support, with a break below it opening doors for a steeper decline." If the minutes are at all favourable for the Aussie,  bulls could push the barriers having already broken the April 2016 highs and weekly resistance and a test of the 0.7920 and the Jan 2015 and 13th August highs are a key target. 

Key notes:

AUD/USD analysis: bearish momentum to accelerate below 0.7840 

AUDUSD: Trading from the short side  

About the RBA minutes

The minutes of the Reserve Bank of Australia meetings are published two weeks after the interest rate decision. The minutes give a full account of the policy discussion, including differences of view. They also record the votes of the individual members of the Committee. Generally speaking, if the RBA is hawkish about the inflationary outlook for the economy, then the markets see a higher possibility of a rate increase, and that is positive for the AUD.