The Australian dollar has managed to survive a fall in trading that continued into the beginning of the week while the US dollar has continued to show a dismal performance since last week.
Investors are likely to be cautious ahead of the FOMC meeting early Thursday morning with the expectation that drastic movements will be witnessed especially for the US dollar currency.
Monitoring the movement of the Aussie dollar, the Australian inflation data for the second quarter to be published in the Asian session on Wednesday will be in focus.
Expectations for a lower reading figure are seen to limit the upside of the Aussie dollar in the market.
On the price chart of the AUD/USD currency pair, the price is seen to remain above the support level of 0.69000 after the decline at the beginning of the Asian session yesterday rose again above that level.
In fact, the price has also crossed above the Moving Average 50 (MA50) support level on the 1-hour time frame to remain a signal for a bullish price movement.
The gains continued in Asian session trading this morning (Tuesday), with the target at 0.7000 getting closer to the price touch.
If the price increase continues successfully, the price will pass the barrier at 0.7000 and will then head to the next concentration levels at 0.70400 or higher at the 0.71000 zone.
On the other hand, if the price starts to show a downward pattern, the support level at 0.69000 will be tested and evaluated by investors for indications of bearish price movement after the price drops below the MA50 level.
A further drop in price is seen to lead to several concentration zones at 0.68300 or support 0.67000.
Before the Australian inflation data will be in focus tomorrow, the United States (US) consumer confidence data will be the focus first in the New York session tonight.
