• AUD/USD edged higher on Monday but remained close to a one-year low as markets evaluated the likelihood of U.S. policy easing beyond this week.
• The Federal Reserve meets on Wednesday and it is expected to cut rates by 25 basis points to a new range of 4.25% to 4.50%.
• The Australian data calendar is light this week, but the government will release its budget outlook on Wednesday, forecasting larger deficits due to China's economic weakness.
• At GMT 05:51, The Australian dollar was last trading up 0.23% to $0.63575.
• Immediate resistance is located at 0.6417(38.2%fib), any close above will push the pair towards 0.6444(Dec 10th high).
• Support is seen at 0.6345(23.6%fib) and break below could take the pair towards 0.6313(Lower BB).
Recommendation: Good to sell around 0.6400, with stop loss of 0.6480 and target price of 0.6300
