10:30pm (NY Time) AU RBA Rate Decision Forecast 4.00% Previous 3.75%
ACTION: AUD/USD N/A
Reserve Bank of Australia (RBA) is going to hike its official cash rate once again to 4.00% as it is widely expected by the majority economists surveyed by both Bloomberg and Reuters. Majority of economists expected a pause in today’s rate decision back in December of 2009, and many of them had apparently jumped ship and are now on the side of a rate hike… As a matter of fact, there are rumors floating of a possible hike of 1/2 percent instead of the 1/4 percent forecast-ed…
Before we also jump on the bandwagon, remember the situation today is no longer sunny skies with no clouds… It’s more a foggy day with low visibility, and all traders should use caution… On one hand RBA is facing real inflationary pressure; but on the other hand, recent equity market losses are unnerving… Should RBA decide to wait and see, we could expect AUD to drop significantly against other currencies, especially against USD.
RBA will also release a statement along with the rate decision. I’ll be watch closely and should there be any hint of a possible pause, we should SELL AUD/USD immediately.
I’ll also trade this release LIVE in my trade room and I will try to post the videos back as soon as I can.
Related posts:
- RBA Cash Rate decision 03/01/2010
- Trading RBA Cash Rate Decision 06/01/10
- RBA Cash Rate Decision 04/06/10
- RBA Cash Rate Decision 11/30/09 (Interest Rate Decision)
- Forex Trade Plan And Video For RBA Cash Rate Decision 08/03/10
- RBA Cash Rate Decision Trading Plan 07/06/10
- Forex Trading Strategy on RBA Interest Rate Decision 10/04/10
- Forex News Trading AU RBA Interest Rate 06/07/11
- Trade Plan For RBA Interest Rate Decision 09/07/10
- Forex Strategy For AU RBA Interest Rate Decision 08/01/11
