The Australian Dollar strengthened against the US Dollar on Friday, with the AUD/USD pair trading near the 0.6950 level. The Reserve Bank of Australia’s (RBA) continued hawkish stance, emphasizing the need for ongoing vigilance against inflation, has supported the Australian Dollar.
While the US Dollar experienced some weakness due to improved market sentiment, the Australian Dollar’s gains were primarily driven by domestic factors. The RBA’s commitment to maintaining higher interest rates for an extended period has differentiated the Australian monetary policy from those of other major economies, bolstering the currency’s appeal.
Technical Outlook
The AUD/USD pair is displaying bullish momentum, with the RSI indicating positive sentiment. The pair’s ability to hold above the 0.6600-0.6630 support level is crucial for maintaining the upward trend.
