AUD/USD unsteady near 0.72 ahead of Aussie GDP

• The Aussie is trapped near 0.72 as major pairs twist against an unsteady USD.
• The Aussie data train continues into Wednesday with an expected soft reading of the Australian GDP.

The AUD/USD is cycling near the 0.7200 major level after some mild whipping action on Tuesday saw the Aussie-Dollar pairing relatively unchanged after skidding from the day's high of 0.7235 into a new low for the week at 0.7157; the action remains unsettled but relatively flat heading through Wednesday's early overnight session as the return of US markets from the Labor Day long weekend saw USD traders miffed at the current state of markets and unable to pick a decisive direction for the Dollar index against the broader FX space.

Wednesday's action turns to Australia's q/q GDP figures for Q2, releasing early on at 01:30 GMT, and Aussie traders are bracing for a forecast 0.7% decline against the previous quarter's 1.0%. The Australian Bureau of Statistics is likely to pin the wavering headline figure on wobbly metals prices, a lopsided housing market, and global recessionary pressure from trade frictions abroad.

It's been a relatively hefty week for the AUD on the economic calendar, and Thursday will be keeping the trend going with the Australian Trade Balance numbers due early in the day, where trade pressures are expected to rear their head even further after a -1% contraction in Imports seen in July, and major pairs will be leery of the action ahead as the USD heads into another Non-Farm Payrolls Friday looking out to the end of the week.

AUD/USD levels to watch

The beleaguered Aussie dipped into a new 21-month low yesterday just above 0.7150, and support is wearing thin as resistance piles up from the week's high at 0.7235 with last week's ceiling of 0.7360 looking quite far off in the distance.