A weaker yuan fix by the PBoC and falling commodity prices are keeping pressure on the AUD.
- The pair saw lows of 0.7439 and had edged higher to currently trade at 0.7460 levels.
- Our previous call (http://www.econotimes.com/FxWirePro-AUD-USD-slips-below-075-handle-post-RBA-minutes-broad-based-commodity-sell-off-adds-pressure-178419) has almost hit targets.
- FOMC meeting due later in the NY session is a major risk event for the pair, we advise booking profits and exiting trade on dips.
- On the technical side, the pair is holding above 4H cloud top support at 0.7452, and further weakness can be seen only on breaks below.
- Immediate support and resistance are located at 0.7427 (Mar 10th lows) and 0.7488 (5-DMA) respectively.
