Chart - Courtesy Trading View
AUD/USD was trading 0.01% lower on the day at 0.6807 at around 06:30 GMT.
The pair has formed back-to-back Dojis at 200-DMA support, shows downside exhaustion.
Markets await US Personal Consumption Expenditures price index, the Fed’s preferred inflation gauge which is expected to reiterate that price pressures remained elevated in January.
On the other side, weak U.S. GDP data raised concerns over slowing industrial activity. Markets remain uncertain over where interest rates will peak.
Technical bias for the pair remains bearish. MACD and ADX support downside. Volatility is high and momentum is bearish.
Break below 200-DMA will find next major support at cloud base, break below will drag the pair lower.
Major Support Levels:
S1: 0.6799 (200-DMA)
S2: 0.6780 (38.2% Fib)
Major Resistance Levels:
R1: 0.6833 (5-DMA)
R2: 0.6871 (55-EMA)
Summary: AUD/USD trades with a bearish bias. Watch out for break below 200-DMA for further downside.
