AUD/USD to Resume Long-Term Bearish Trend as Pair Carves Lower High in April -David Song, Currency Analyst at DailyFX

"The Australian dollar appears to have marked a near-term top as the dismal 1Q CPI reading limits the Reserve Bank of Australia's scope to normalize monetary policy ahead of schedule. Indeed, subdued wage growth paired with the appreciation in the local currency may continue to dampen the outlook for inflation as Governor Glenn Stevens retains a cautious outlook for the region, and the central bank may take a more aggressive approach in weakening the Australian dollar in an effort to further assist with the rebalancing of the 1T economy. In turn, the AUDUSD looks poised to resume the long-term downward trend, and the pair may continue to carve a series of lower highs & lower lows in 2014 as Governor Stevens prefers the exchange rate close to the 0.8500 handle."