AUD/USD plunges to 7-day low at 0.7620, focus on FOMC minutes

The AUD/USD pair remained well offered and extended its reversal from Tuesday's swing high near 0.7750 region to currently trade near 7-day low at 0.7620 level. 

A broader recovery in the greenback, after yesterday's comments from New York Fed president William Dudley, had been the key factor contributing to the pair's weakness on Wednesday. Adding to this, possibilities of stops being triggered below 0.7650 support could have further added on to the selling pressure and accelerated the downslide.

Moreover, traders might have been inclined to take some profits off the table following the pair's repeated failed attempts to hold and build on to its strength above 0.7700 handle. 

Furthermore, possibilities of hawkish FOMC meeting minutes, slated for release later during US trading session, is also seen weighing on high-yielding currencies - like the Aussie. 

During early Asian session on Thursday, investors will turn their attention to Australian employment data, which if disappoints would turn the pair vulnerable to continue drifting lower in the near-term.

Technical levels to watch

From current levels, a follow through selling pressure below 0.7610 is likely to accelerate the downfall immediately towards 0.7585, which could further get extended towards an important confluence support near 0.7525 region comprising of 50-day SMA and 38.2% Fibonacci retracement level of 0.7145-0.7756 up-move.

On the flip side, any recovery now seems to confront immediate resistance near 0.7650, above which a fresh bout of short-covering could boost the pair back towards 0.7700 handle.