AUD/USD sellers keep a defense of the 200-hour moving average today
The pair tried for a push towards 0.7200 yesterday but that came undone as sellers took back near-term control on a push below the key hourly moving averages.
The downside push stalled at the 38.2 retracement level of the recent swing move higher with a near-term trendline support also offering an added layer for buyers to lean on.
Since then, buyers have tried wrestling back for some near-term control earlier but the 200-hour MA (blue line) held so sellers are still in a good spot to start the day.
Although US futures are slightly higher on the day, currencies aren't really buying into that just yet - similar to what we saw on Monday.
The dollar is keeping steadier as such and remains in a good spot if AUD/USD sellers are able to keep price action contained below the 200-hour MA @ 0.7173 currently.
Looking ahead, the aussie side of the equation will also come into focus as it will have a tricky next few sessions to navigate through.
RBA governor Lowe's speech in the day ahead will be one to watch for any clues about a rate cut before the end of the year.
The RBA isn't likely to jump the gun and go straight to 0% but anything around 0.15% or 0.10% is certainly plausible and that has already been fully priced in.
Aussie cash rate futures imply that a cut to 0.08% has already been priced in going into the final RBA meeting in December this year.
Hence, a lack of mention of such action by Lowe could see some unwinding in those odds and potentially underpin the aussie slightly later today.
But thereafter, there's also the latest Australian jobs report to contend with and if the data is lackluster enough to support arguments for more easing, that may well keep the aussie more subdued as we move towards the latter stages of the week.
Back to AUD/USD, for now the support region around 0.7153-63 is still the one to watch even as sellers are keeping near-term control.
Further support is then seen closer towards 0.7125 next before 0.7100 comes into play. Just below that, the 100-day moving average @ 0.7088 will be one to watch.
As for any turn in the tide back to the upside, the break back above the key hourly moving averages @ 0.7173 and 0.7191 are the key levels to be mindful about.
