{"id":44889,"date":"2026-04-20T04:37:32","date_gmt":"2026-04-20T04:37:32","guid":{"rendered":"https:\/\/www.vtmarkets.com\/en\/uncategorized\/after-opening-lower-near-0-7115-aud-usd-draws-buyers-on-dips-regaining-mid-0-7100s-in-asia\/"},"modified":"2026-04-20T04:37:32","modified_gmt":"2026-04-20T04:37:32","slug":"after-opening-lower-near-0-7115-aud-usd-draws-buyers-on-dips-regaining-mid-0-7100s-in-asia","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-latam\/live-updates\/after-opening-lower-near-0-7115-aud-usd-draws-buyers-on-dips-regaining-mid-0-7100s-in-asia\/","title":{"rendered":"After opening lower near 0.7115, AUD\/USD draws buyers on dips, regaining mid-0.7100s in Asia"},"content":{"rendered":"AUD\/USD opened on Monday with a bearish gap to about 0.7115, then rebounded and moved back above the mid-0.7100s in Asia. It has paused after pulling back from Friday\u2019s peak near 0.7220, the highest level since June 2022.\n\nThe US dollar started the week firmer amid renewed US-Iran tensions around the Strait of Hormuz, which weighed on AUD\/USD early on. Reduced expectations of a US Federal Reserve rate rise limited further US dollar gains, while the Reserve Bank of Australia\u2019s hawkish outlook supported the Australian dollar.\n\n<h3>Technical Outlook And Key Levels<\/h3>\nTechnically, the pair has risen strongly from the 100-day simple moving average and broke above the 0.7115 resistance last week. Buying interest around 0.7115, now seen as support, points to a continued upward bias.\n\nMomentum signals lean positive, with MACD above its signal line and RSI near 62, which does not indicate overbought conditions. A move above 0.7200 could open the way to a retest of 0.7220\u20130.7225.\n\nSupport is first seen near 0.7115, with further support around 0.7100. The 100-day SMA is near 0.6900.\n\nLooking back at the bullish technical setup from early 2025, we remember the strong momentum that carried the AUD\/USD past the 0.7115 level. The positive signals from indicators like the MACD and RSI were valid at the time, supporting a continued push. That analysis correctly identified the near-term path of least resistance as being to the upside.\n\nHowever, that rally toward 0.7225 proved to be a peak as the fundamental outlook shifted later that year. The Reserve Bank of Australia paused its hiking cycle sooner than anticipated, while the US Federal Reserve maintained a restrictive stance longer than the market priced in. This divergence in central bank policy eventually unwound the Aussie&#8217;s strength through the second half of 2025.\n\n<h3>Derivatives Strategy Considerations<\/h3>\nToday, on April 20, 2026, the situation is completely different, with the pair trading near 0.6550. We now see Australian inflation down to 3.1%, with markets pricing in a 75% chance of an RBA rate cut by August. In contrast, US inflation is holding firmer at 2.8%, making the Fed cautious about easing policy too soon.\n\nFor derivative traders, this environment suggests positioning for either further downside or range-bound activity. One-month implied volatility for AUD\/USD is currently at a relatively low 8.5%, making it cheaper to buy options than it was a year ago. This presents an opportunity to structure trades with a favorable risk-reward profile.\n\nGiven the dovish RBA sentiment, traders anticipating a break lower could consider buying put options targeting the 0.6400 level. Alternatively, constructing bear put spreads would reduce the upfront cost while still profiting from a modest decline. This strategy defines the risk should a surprise geopolitical event or a shift in Fed language cause a dollar downturn.\n\nFor those who believe the major central bank moves are already priced in, the low volatility makes selling options attractive. A short strangle, selling both an out-of-the-money call and put, could be a viable strategy to collect premium. This would be profitable if we expect the AUD\/USD to consolidate in its current 0.6500-0.6650 range ahead of the next major economic data releases.\n\n<b><a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\">Create your live VT Markets account<\/a>\u00a0and\u00a0<a href=\"https:\/\/myaccount.vtmarkets.com\/login\">start trading<\/a>\u00a0now. <\/b>\n<p>\n\n<p><strong>Start trading now &#8211; Click <a href=\"https:\/\/latam.vtmarkets.com\/en\/trade-now\/\">here<\/a> to create your real VT Markets account <\/strong> <\/p>\n<!-- \/wp:post-content -->","protected":false},"excerpt":{"rendered":"<p>AUD\/USD rebounded above 0.7100 after a bearish gap; bullish momentum persists, targeting 0.7220, support 0.7115.<\/p>\n","protected":false},"author":87,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[41],"tags":[],"class_list":["post-44889","post","type-post","status-publish","format-standard","hentry","category-live-updates"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/posts\/44889","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/users\/87"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/comments?post=44889"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/posts\/44889\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/media?parent=44889"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/categories?post=44889"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-latam\/wp-json\/wp\/v2\/tags?post=44889"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}