AUD/USD Hovering Around 0.7700 Mark
Following its recovery back above 0.7700 mark, the AUD/USD pair has been consolidating within a narrow trading range between 0.7700 mark and 0.7730 level.
As the two-day FOMC meeting get underway on Tuesday, the pair is likely to witness substantial volatility and break-through this tight range.
Technical levels to watch
From current levels, any further pull-back is likely to continue facing resistance at the ascending trend-channel support break-point, now turned resistance, near 0.7730 level. Momentum beyond 0.7730 barrier is likely to assist the pair move towards 0.7770 resistance before it attempt a fresh move towards retesting its next major resistance near 0.7800 handle.
On the flip side, reversal from support turned resistance area and a subsequent weakness below 0.7690 level, Monday's low, should extend the fall towards its next major support near 0.7660 confluence region. This 0.7660 support comprises of 20-day SMA and 50% Fibonacci retracement level of 0.7492-0.7834 up-swing.