AUD/USD Holds Above 0.71 as RBA Hike Fails to Boost Momentum

AUD/USD is holding above 0.71 support after the RBA rate hike to 4.35%, but upside momentum has slowed as the move was already priced in by the market. At the same time, Australian bond yields have eased slightly, reducing short-term support for the currency.

Despite this, the broader outlook remains bullish, as the AU–US yield spread is still positive and the overall structure is intact. In the near term, price may consolidate or pull back, especially after the recent rally.

On the upside, holding above 0.71 keeps targets at 0.73 and 0.75 in play. On the downside, a stronger USD could push price toward 0.70, but this would likely be a corrective move rather than a full reversal.

Bottom line: Momentum has cooled after the RBA, but the trend remains bullish above 0.71, with any dips likely to be temporary.

AUD/USD Daily Chart