Supertrend Indicator

AUD/USD advanced to 0.7055, its highest level since September 23, after Australian inflation data strengthened expectations for another Reserve Bank of Australia rate increase. Traders are now watching US GDP and PCE data for clues on whether the Federal Reserve could resume tightening in December.

AUD/USD has recovered from last week’s 0.6903 low to trade near 0.6970 despite a stronger US dollar and weaker iron ore prices. Technical traders remain cautious, with the pair still below key trend indicators as attention turns to Federal Reserve minutes.

EUR/USD extended its decline to 1.1430, its weakest level since July 29, as traders awaited flash manufacturing and services PMI releases from the US and the European Union. Technical momentum remains tilted to the downside while the pair trades below 1.1500, with 1.1353 viewed as the next bearish target by chart watchers.

EUR/USD extended its decline to 1.1540, its weakest level since August 14, as the US dollar, crude oil and bond yields rallied ahead of the Federal Reserve decision. Technical traders are watching whether the break below 1.1565 opens the door to a move toward 1.1450.