FxWirePro: AUD/USD downside pressure builds, key support level in focus

• AUD/USD  eased   on Wednesday    as Australian dollar dipped  following the release of soft Australian consumer inflation figures

• Australian data showed consumer prices were unchanged in February, nudging the annual pace of inflation down to 3.7%, from 3.8% the previous month.

• Core inflation came in a tick below forecasts at 3.3%, but stayed stubbornly above the Reserve Bank of Australia's target range of 2% to 3%. Rising energy costs are almost certain to drive CPI inflation up in March.

• Markets see about a 50% chance the RBA will raise the 4.1% cash rate on May 5, with rates possibly reaching 4.75% by year-end.

• On geopolitical front, Trump said the U.S. is making progress to end the war with Iran, securing a key concession, while Washington sent a 15‑point settlement proposal.

•  Immediate resistance is located at 0.7035 (38.2%fib), any close above will push the pair towards 0.7059(SMA 20).

•  Support is seen at 0.6930 (50%fib) and break below could take the pair towards 0.6821(61.8%fib)

Recommendation: Good to sell around 0.6890 with stop loss of 0.7060, and target price of 0.6840