The AUD/USD pair tested the 0.6860 mark on Tuesday, reaching its highest point in 2024, bolstered by supportive economic news from China. The People's Bank of China (PBoC) announced stimulus measures to boost the Chinese economy. These measures positively influence the Australian dollar due to the close economic ties between Australia and China. The Reserve Bank of Australia (RBA) is expected to maintain its interest rate, reflecting mixed sentiment among market participants regarding the future rate trajectory. According to a recent Reuters poll of 44 economists, only four anticipate a rate cut by year-end. However, investors assign a 60% probability of a rate reduction in December. So far, the RBA has maintained a conservative stance regarding inflation and economic activity, believing that the economy can self-adjust without intervention. Nonetheless, the global trend towards rate cuts initiated by central banks, such as the Fed and the ECB, may influence the RBA's perspective in the future. AUD/USD technical analysis Chart The AUD/USD has completed the fifth wave of growth, reaching a target of 0.6864. Currently, a potential initial wave of decline to 0.6740 is being considered. After reaching this level, a corrective move to 0.6803 could occur, marking the upper limits of a new consolidation range. A downward exit from this range might lead to further declines towards 0.6740, with a potential continuation down to 0.6677 and possibly extending to 0.6616. The MACD indicator, currently at its peak, suggests an impending decline, supporting this bearish outlook. Chart On the H1 chart, the AUD/USD is forming a downward structure targeting 0.6805. Subsequently, a narrow consolidation range may develop, with a potential downward breakout leading to further declines towards 0.6744. This scenario is corroborated by the Stochastic oscillator. Its signal line currently above 80 but poised to move downward sharply. Share: Analysis feed Before you enter foreign exchange and stock markets, you have to remember that trading currencies and other investment products is trading in nature and always involves a considerable risk. As a result of various financial fluctuations, you may not only significantly increase your capital, but also lose it completely. Therefore, our clients have to assure RoboForex that they understand all the possible consequences of such risks, they know all the specifics, rules and regulations governing the use of investment products, including corporate events, resulting in the change of underlying assets. Client understands that there are special risks and features that affect prices, exchange rates and investment products. RECOMMENDED CONTENT The markets didn't disappoint Nick Mastrandrea By Nick Mastrandrea 28 minutes ago RBA more confident about rate cut, Aussie shrugs Kenny Fisher By Kenny Fisher 11:47 GMT Gold outlook: Diving into the Fed’s decision and Core PCE rates Phaedros Pantelides By Phaedros Pantelides 10:58 GMT Markets wind down for Christmas TradeTheNews.com Staff By TradeTheNews.com Staff 10:17 GMT No one is willing to leave the festive table, just yet [Video] Ipek Ozkardeskaya By Ipek Ozkardeskaya 09:08 GMT It’s never too late to believe in Santa Ipek Ozkardeskaya By Ipek Ozkardeskaya 06:59 GMT Quiet trade into holidays [Video] LMAX Group Research Desk By LMAX Group Research Desk 06:57 GMT Gold consolidates in holiday trade amid geopolitical risks and strong Dollar Muhammad Umair, PhD By Muhammad Umair, PhD 06:46 GMT 'Groundhog day' in Japan, JP fin min and BoJ once again in focus, like on Fri TradeTheNews.com Staff By TradeTheNews.com Staff 06:02 GMT Morning briefing: Euro can trade within 1.0450/0550-1.0350/0300 Vikram Murarka By Vikram Murarka 04:28 GMT EDITORS’ PICKS EUR/USD stays weak near 1.0400 as trading conditions thin out EUR/USD stays weak near 1.0400 as trading conditions thin out EUR/USD trades with mild losses near 1.0400 on Tuesday. The expectation that the US Federal Reserve will deliver fewer rate cuts in 2025 provides some support for the US Dollar. Trading volumes are likely to remain low heading into the Christmas break. EUR/USD News GBP/USD consolidates below 1.2550 on stronger US Dollar GBP/USD consolidates below 1.2550 on stronger US Dollar GBP/USD consolidates in a range below 1.2550 on Tuesday, within striking distance of its lowest level since May touched last week. The sustained US Dollar rebound and the technical setup suggest that the pair remains exposed to downside risks. GBP/USD News Gold holds above $2,600, bulls non-committed on hawkish Fed outlook Gold holds above $2,600, bulls non-committed on hawkish Fed outlook Gold trades in a narrow channel above $2,600 on Tuesday, albeit lacking strong follow-through buying. Geopolitical tensions and trade war fears lend support to the safe-haven XAU/USD, while the Fed’s hawkish shift acts as a tailwind for the USD and caps the precious metal. Gold News IRS says crypto staking should be