AUD/USD bounces-off 0.7300

FXStreet (Mumbai) - The Australian dollar accelerated losses versus its American counterpart in the European morning session, knocking-off AUD/USD to fresh session lows just ahead of 0.73 handle. The Aussie gave away early gains and was relentlessly sold-off as the greenback regained strength across the board with traders stepping out on the side lines ahead of Fed.

AUD/USD rejected at 0.7351

Currently, the AUD/USD pair trades -0.29% lower at 0.7314, quickly rebounding from 0.7301 lows. The Aussie stalled its recovery and reverted towards six-year lows as the buck gathered momentum amid persisting divergent monetary policy outlooks as markets heading in to the latest FOMC decision.

Moreover, the bearish trend on commodities is dragging the Aussie lower, along with the chaos on Chinese stock markets. While a retreat in the NZD/USD pair also added to downside in its OZ counterpart.

Markets now await the biggest highlight of the week - the Federal Reserve announcement about interest rates, which will likely remain unchanged. Traders, however, will search for any indications of the anticipated rate hike later in 2015.

AUD/USD Technical Levels

The pair has an immediate resistance at 0.7363 (July 24 High) levels, above which gains could be extended to 0.7400 (Psychological levels). On the flip side, support is seen at 0.7300 levels from here it to 0.7254 (July 28 Low) levels.