FundamentalOverviewThe USD continues to besupported against most major currencies, especially the commodity currencies,as the markets remain in a risk-off mood following some bad US data releases.In fact, since last Friday, we got weak US Flash Services PMI, UMich final Consumer Sentiment and yesterday a weak US Consumer Confidence report. The problem is that we’vealso got inflation expectations jumping to new highs in both the UMich and theConference Board report. The market might be fearing that in case we get aslowdown, the Fed might not be fast enough in cutting rates amid inflationremaining above target and uncomfortably high long-term inflation expectations.This is something to keepin mind in light of the next NFP and CPI reports coming out before the MarchFOMC decision where we will also get the updated SEP and Dot Plot. On the AUD side, the RBA cut interest rates by 25 bps as expected recently bringingthe Cash Rate to 4.10% but it was accompanied by a more hawkish than expectedguidance. After the rate decision, we got a strong Australian Employment report and today the monthly Trimmed-Mean CPI ticked higher to 2.8% remainingnear the upper bound of the 2-3% target range. AUDUSDTechnical Analysis – Daily TimeframeOn the daily chart, we cansee that AUDUSD is falling back below the key support zone around the 0.6330 level. This is where wecan expect the sellers to pile in to position for a drop into the 0.62 handle.The buyers, on the other hand, will want to see the price rising back above thezone to start targeting the 0.65 handle next.AUDUSD TechnicalAnalysis – 4 hour TimeframeOn the 4 hour chart, we cansee that we have a downward trendline defining the current pullback. Wecan expect the sellers to lean on the trendline to keep pushing into new lows,while the buyers will look for a break higher to increase the bullish bets intothe 0.65 handle. AUDUSD TechnicalAnalysis – 1 hour TimeframeOn the 1 hour chart, there’snot much we can add here as the sellers will keep pushing into new lows, whilethe buyers will look for a break above the trendline to gain more convictionfor new highs. The red lines define the average daily range for today.Upcoming CatalystsTomorrow we get the latest US Jobless Claimsfigures, while on Friday we conclude the week with the US PCE data. This article was written by Giuseppe Dellamotta at www.forexlive.com.