AUD/USD remains limited by 0.7400 and supported by 0.7330

• AUD/USD ends quiet day flat, remains in a range near multi-month lows.
• Key events ahead: FOMC minutes on Thursday and NFP on Friday.

The AUD/USD pair failed to hold to gains and it was about to end the day flat. Earlier today, rose to 0.7423 supported by Australian economic data, reaching the highest level since June 25. It failed to hold on top of 0.7400 and pulled back.

The retreat found support at 0.7370/75 and during the last hours it has been moving in a range between 0.7390 and 0.7370, near the same level it closed on Tuesday. Price action remained limited all day on the back of the US holiday.

On a wider perspective, the dominant trends point to the downside. In the short-term AUD/USD is consolidating, still, near the 1-year low, it reached on Monday at 0.7309. If it manages to hold above the 0.7330 area, the bearish pressure would remain limited.

AUD/USD Technical Levels

“The pair is neutral according to the 4 hours chart, barely holding above a flat 20 SMA and having retreated from a bearish 100 SMA on its early attempt to advance”, said Valeria Bednarik, Chief Analyst at FXStreet.

According to her technical indicators in the 4 hours chart head modestly higher around their midlines, not enough to support additional gains ahead which will become more likely on a break above 0.7440.