Australian consumer confidence weakened, but the Westpac Leading Index increased. Inflationary pressures as measured by the CPI remained tame in the fourth quarter and below the RBA’s annualized target of 2.0% annualized. The AUDUSD lost selling pressure after it moved into its horizontal support area, but how will price action be impacted by US economic data today? Subscribe to the PaxForex Daily Fundamental Analysis and grow your balance trade-by-trade.

Forex traders eagerly anticipate the press conference following this evening’s FOMC interest rate decision. Expectations call for no change, but the outlook may be altered as economic data has been weak. While no immediate change is likely, the wording of the statement could provide further clues. Will bulls get the necessary wording to spark a rally in the AUDUSD, or can bears extend the sell-off? Today’s fundamental analysis will take a look at the upside potential as well as the downside risk in this currency pair.