AUD/USD rebounds to test weekly highs after RBA rate cut volatility

AUD/USD has recovered strongly from its post-RBA decision low, climbing 0.8% to test last week's highs near 0.6520. The pair initially dropped below its 200-hour moving average at 0.6487 following the Reserve Bank of Australia's 25 basis point rate cut, but buyers quickly stepped in to reverse the decline. Volatility surrounding the US CPI report propelled the pair to the 100-hour moving average at 0.6514, where sellers initially defended the level before retreating to 0.6490. However, this pullback proved short-lived as renewed buying pressure emerged. The RBA's dovish stance signals potential for further easing as Australian inflation and growth continue to slow. Technical indicators suggest bullish momentum is building, with immediate resistance at 0.6520 and strong support established at the 200-hour MA. A sustained break above weekly highs could open the path toward 0.6600.