• AUD/ USD steadied around 0.6785 on Tuesday as investors awaited Australia's July inflation data.
• Australia's July inflation report, due on Wednesday, is expected to reveal a notable slowdown in headline inflation, projected to decrease to 3.4% from 3.8%.
• Australian retail sales for July, set to be released on Friday, will be closely examined to determine if consumers increased spending following the government's tax cuts.
• Technical highlight upside risks for AUD/ USD, with momentum studies, 5, 10 and 21 DMAs tracking north.
• Immediate resistance is located at 0.6797 (23.6%fib), any close above will push the pair towards 0.6833 (Higher BB).
• Support is seen at 0.6705(38.2%fib) and break below could take the pair towards 0.6630(50%fib).
Recommendation: Good to buy around 0.6770, with stop loss of 0.6660 and target price of 0.6880
