The Australian Dollar (AUD) has strengthened against the US Dollar, driven by a combination of factors including the RBA’s continued hawkish stance and a weaker US Dollar.

The RBA’s latest meeting minutes reaffirmed its commitment to maintaining higher interest rates for an extended period, citing concerns about inflation. While China’s recent measures to support its housing market may provide some limited support for the Australian Dollar, the underlying debt issues in the Chinese economy limit the potential impact.

Technical Outlook

The AUD/USD pair has shown strong upward momentum, with the RSI indicating overbought conditions. However, the pair is facing resistance near the 0.6800 level. A break above this level could signal further gains, with potential targets at 0.6850 and 0.6900. Support levels to watch include 0.6700 and 0.6650.