• AUD/USD edged higher on Monday as greenback weakened as markets continued to price in growing expectations of Federal Reserve rate cuts later this year.
• On the domestic economic releases , investors await the Westpac Consumer Confidence Index, consumer inflation expectations, flash PMIs, and speeches from RBA officials scheduled for this week.
• In the U.S., the week will be relatively quiet, with key releases including housing starts on Tuesday, the FOMC minutes from the July meeting, weekly jobless claims, S&P flash PMIs, and existing home sales.
• Markets imply around an 85% chance of a quarter-point rate cut at the Fed's meeting on September 17, and are priced for a further easing by December.
• At GMT 05:00, the Australian dollar was up 0.21% to 0.6521 against the Greenback
• Immediate resistance is located at 0.6611 (23.6%fib), any close above will push the pair towards 0.6634(Higher BB)
• Support is seen at 0.6518 (SMA 20) and break below could take the pair towards 0.6460(38.2%fib).
Recommendation: Good to sell around 0.6550 with stop loss of 0.6600 and target price of 0.6460
