FxWirePro: AUD/USD recovers slightly from early decline but bears are not done yet

• AUD/USD  edged higher on Monday as nervous investors took stock of the escalating Iran war.

•Investor sentiment continues to swing sharply amid escalating rhetoric from Donald Trump, who has threatened harsh action if Tehran does not reach an agreement and reopen the Strait of Hormuz by Tuesday.

• Brent oil prices climbed as the U.S.-Israeli war with Iran continued to disrupt global energy supplies.

• Rising crude prices are fuelling inflation concerns, with markets pricing in the possibility of another rate hike in May, supported by strong oil and a tight labor market.

• Economists project that the Reserve Bank of Australia will implement three additional rate hikes in 2026, bringing the cash rate to 4.85% its highest point since November 2008

•  Immediate resistance is located at 0.6962(April 1st high), any close above will push the pair towards 0.6990 (SMA20).

•  Support is seen at 0.68764 (50%fib) and break below could take the pair towards 0.6821(Lower BB)

Recommendation: Good to sell  around 0.6930  with stop loss of 0.6970   , and target price of 0.6860