• AUD/USD rebounded strongly on Wednesday as the U.S. dollar weakened amid renewed concerns about the economic and fiscal outlook.
•U.S. President Trump urged Republicans to back a bill extending his 2017 tax cuts but faced resistance from a few holdouts.
• Investors fear the bill may speed up the growth of the U.S. budget deficit, with Moody’s recent downgrade of the country’s credit rating intensifying concerns over the rising debt.
•At GMT 05:50, the Australia dollar was down 0.45% to 0.6452 against the US dollar.
• Immediate resistance is located at 0.6480(Higher BB), any close above will push the pair towards 0.6515(23.6%fib).
• Support is seen at 0.6398(38.2%fib) and break below could take the pair towards 0.6362(Lower BB).
Recommendation: Good to buy around 0.6430 with stop loss of 0.6350 and target price of 0.6500
