FxWirePro: AUD/USD edges higher in quiet trade ahead of U.S. inflation data

• AUD/USD edged higher but gains were limited as traders stayed cautious ahead of the release of critical U.S. inflation data.

• The Fed’s preferred gauge, the Personal Consumption Expenditures (PCE) Price Index, is due later in the day and is expected to provide fresh cues on the U.S. rate path.

• A softer outcome could reinforce bets on a September Fed rate cut, further pressuring the dollar, while a stronger print may provide a temporary reprieve.

• For the Aussie, domestic data risks loom next week with Q2 current account, GDP, and balance of trade figures all scheduled.

• These releases will provide a deeper read on the resilience of Australia’s external sector and growth trajectory, and could help shape the RBA’s policy outlook.

•  At GMT 04:49, the Australian dollar was up 0.08% to 0.6538 against the Greenback

•  Immediate resistance is located at 0.6576(Higher BB), any close above will push the pair towards 0.6618(23.6%fib)

•  Support is seen at 0.6496 (SMA20) and break below could take the pair towards 0.6466(38.2%fib).

 Recommendation: Good to sell around 0.6560 with stop loss of 0.6650 and target price of 0.6470