FxWirePro: AUD/USD holds ground despite Israel-Iran flare-up,focus turns to Fed

• AUD/USD remained stable on Tuesday, showing resilience despite heightened market anxiety over intensifying hostilities between Israel and Iran.

• Investor optimism for a swift resolution to the Israel-Iran conflict faded quickly after both nations launched fresh attacks, and U.S. President Donald Trump called on Iranian citizens to evacuate Tehran.

• With uncertainty looming, all eyes turn to the Federal Reserve’s policy meeting on Wednesday,as markets await fresh guidance.

• The Federal Reserve is widely expected to keep interest rates unchanged, with attention turning to Chair Jerome Powell’s guidance on the future path of rate cuts. Markets are currently pricing in two cuts by year-end.

•At GMT 05:38, the Australian dollar was trading up 0.19% at 0.6534 against greenback   .

•  Immediate resistance is located at 0.6546(23.6%fib), any close above will push the pair towards 0.6571(Higher BB).

•  Support is seen at 0.6441 (38.2%fib) and break below could take the pair towards 0.63921(LowerBB).

 Recommendation: Good to buy around 0.6520 with stop loss of 0.6460  and target price of 0.6600