FxWirePro: AUD/ USD slips to one-year low with plenty more downside potential

• AUD/USD slipped to hot one year low on Wednesday as stronger greenback and higher lower iron ore prices weighed on Australian dollar.

• Iron ore futures fell on Wednesday as easing supply concerns and furnace maintenance in China led to slightly weaker demand.

• The dollar climbed after Tuesday's Commerce Department report showed U.S. retail sales surged 0.7% in November, surpassing expectations, with gains in motor vehicle and online shopping sales.

• Looking ahead, markets prepared for potential interest rate changes from the Federal Reserve, with expectations that the Fed will announce a 25-basis-point rate cut at the conclusion of its two-day policy meeting on Wednesday.

• At GMT 05:58, The Australian dollar  was  trading down 0.39% to $0.6311.

•  Immediate resistance is located at 0.6340(Daily high), any close above will push the pair towards 0.6371(38.2%fib).

•  Support is seen at 0.6300(23.6%fib) and break below could take the pair towards 0.6272(Lower BB).

 Recommendation: Good to sell around 0.6330, with stop loss of 0.6400  and target price of 0.6250