FxWirePro: AUD/USD softens as Australian consumer sentiment sours

• AUD/USD eased slightly on Tuesday as   falling rate cut expectations from RBA hit consumer sentiment.

• Australian consumer sentiment fell for a second consecutive month in October, as concerns over household finances resurfaced amid speculation that interest rates may not decline further, a survey showed on Tuesday.

•A Westpac-Melbourne Institute survey showed the main consumer sentiment index fell 3.5% to 92.1 in October, after a 3.1% decline in September. Readings below 100 indicate pessimists now outnumber optimists.
• Investors have scaled back pricing for a near-term easing from the Reserve Bank of Australia following a hawkish outlook last week.
•Futures now imply only around a 40% chance of a quarter point reduction in the 3.65% cash rate in November, when it was almost fully priced just a month ago.

• Immediate resistance is located at 0.6613(SMA 20), any close above will push the pair towards 0.6681 (Higher BB).

• Support is seen at 0.65513(38.2%fib) and break below could take the pair towards 0.6637 (Lower  BB).

 Recommendation: Good to buy around 0.6570, with stop loss of 0.6520 and target price of 0.6670