As risk appetite dries up on the day, that has seen dollar bids resurface today as mentioned here.

In turn, it has pushed AUD/USD to fresh four-week lows as the pair now falls just below the 0.6900 level. From a technical perspective, there is not much relief on the way down for the pair amid the latest pullback to the May low at 0.6828 and then the trend line support level (white line) just below 0.6800.

Those will be key levels to watch as sellers keep hunting for the next leg lower. However, much will depend on how the risk sentiment evolves and after some strong selling in recent days, there could be room for a breather. However, you have to deal with the Fed tomorrow and that is the most important factor at the moment.

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