FxWirePro: AUD/USD trades tight range, holds above 100-DMA ahead of RBA

• AUD/USD tight range in the mid-Asian session, traders wary heading into the RBA policy decision due shortly.
   
• The pair has broken above 200-DMA at 0.7254 post poor NFP data last Friday and trades with a majorly bullish bias despite weak MI inflation forecasts.
   
• Data released on Monday showed Australia Melbourne Institute inflation reading came in at +1.0% y/y vs prior 1.5%. While m/m was at -0.2% vs +0.1% in the previous month.
   
• The RBA is widely expected to remain on hold considering the recent upbeat GDP data, while a dovish statement cannot be ruled out. 
   
• Immediate support is seen by 100-DMA at 0.7368, while resistance is seen around 0.74 levels.
   
• Our previous call (http://www.econotimes.com/FxWirePro-AUD-USD-breaks-above-200-DMA-good-to-buy-dips-217575) has achieved TP1.
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Recommendation: Raise stops to 0.73, holds for upside. Break below 0.73 could drag the pair to 0.72 levels.