AUD/USD erases intraday gains, back below 0.7300

AUD/USD extended its recovery to fresh 3-week highs above 0.7300 on Thursday as the dollar fell post-FOMC minutes. However, the pair turned lower and retraced gains during the European session.

AUD/USD rose through the 0.73 mark and reached a peak of 0.7329 before losing momentum. The pair has slid back to the 0.7290 area, where it currently trades, still a few pips above its opening price.

On Wednesday, minutes of last Fed meeting expressed "considerable uncertainty" about the impact on the US economy of Donald Trump presidency.

Later on the day, US data includes ADP employment report, initial jobless claims and ISM non-manufacturing PMI.

AUD/USD technical levels

In terms of technical levels, next resistances are seen at 0.7329 (Jan 5 high), 0.7368 (Dec 16 high) and 0.7400 (psychological level). On the flip side, supports could be found at 0.7272 (Jan 5 low), 0.7212 (10-day SMA), 0.7164/59 (Jan 2 low/Dec 23 low) and 0.7100 (psychological level).