FxWirePro: AUD/USD softens as markets calibrate for Jackson Hole

• AUD/USD eased on Friday  as greenback firmed ahead of speech from Federal Reserve Chair Jerome Powell at the annual Jackson Hole symposium..

• Markets await Powell speech for clues on a possible September rate cut amid signs of labor market softening and near-term policy outlook.

• Federal Reserve officials signaled limited support for a rate cut in September, shifting attention to Chair Jerome Powell’s remarks at the annual Jackson Hole conference in Wyoming, which began on Thursday.

• CME FedWatch shows traders now price a 75% chance of a 25 bps September rate cut, down from 92% last week.

• Meanwhile, Australia CPI  next Wednesday will be closely watched for inflationary pressures and to gauge RBA (Reserve Bank of Australia) policy direction.

•  At GMT 05:26, the Australian dollar was down  0.07% to 0.6417 against the Greenback

•  Immediate resistance is located at 0.6442(38.2%fib), any close above will push the pair towards 0.6485(SMA 20)

•  Support is seen at 0.6389 (Lower BB) and break below could take the pair towards 0.6301(50%fib).

 Recommendation: Good to sell around 0.6430 with stop loss of 0.6500 and target price of 0.6350