FxWirePro: AUD/USD downside pressure builds, key support level in focus

• AUD/USD dipped on Wednesday as traders pared back positions ahead of key risk events later in the week.

• Market sentiment remains cautious with focus on Fed Chair Powell’s speech at the Jackson Hole symposium on Friday, which could deliver a more hawkish tone.

• Any such outcome is likely to draw further criticism from former President Trump, keeping Fed policy firmly in the political spotlight.

• On the data front, U.S. July durable goods orders   will provide the next major input for the dollar, while Australia’s CPI release on August 27 will be closely watched for domestic policy cues.

•Markets imply a 34% chance of another move in September by RBA, and are almost fully priced for a drop to 3.35% in November.

•  At GMT 05:17, the Australian dollar was down  0.01% to 0.6490 against the Greenback

•  Immediate resistance is located at 0.6502 (SMA 20), any close above will push the pair towards 0.6551(38.2fib)

•  Support is seen at 0.6428 (50%fib) and break below could take the pair towards 0.6394(Lower BB).

 Recommendation: Good to sell around 0.6450 with stop loss of 0.6520 and target price of 0.6400