AUD/USD consolidates above 0.7600 handle

   •  FOMC minutes-led USD selling recedes. 
   •  Weaker commodity prices also capping gains. 
   •  Thin liquidity conditions to prevail. 

The AUD/USD pair was seen consolidating overnight strong recovery move and has now been confined in a 20-25 pips narrow trading range above the 0.7600 handle.

Wednesday's perceived dovish FOMC meeting minutes, casting doubts over the pace of rate increases in 2018, helped the pair to build on its recovery move from over 5-month lows and provided the required momentum to move back above the 0.7600 handle. 

With the post-minutes US Dollar selling pressure now seems to have receded, a modest retracement in commodity space, especially copper, failed to lend any additional support to the commodity-linked Australian Dollar and has eventually led to subdued trading action.

The consolidative phase could get extended amid relatively thin liquidity conditions on the back of the Thanksgiving holiday in the US. 

Technical levels to watch

Bulls might now be looking to defend the 0.7600 handle, which is closely followed by a horizontal support near the 0.7585 region. On the flip side, bullish momentum beyond 0.7625 level is likely to get extended towards 0.7650 hurdle before the pair makes an attempt to retest the very important 200-day SMA hurdle near the 0.7695 region.