AUD/USD drifts away from 0.6590 highs on weak Australian consumption data

• The Aussie Dollar drifts lower following downbeat Australian Retail sales data
• Strong US Job Openings and manufacturing activity have given some support to the US Dollar.
• AUS/USD is forming a potential "Evening Star" pattern, a bearish figure.

The Aussie Dollar was capped on Tuesday at Year-to-date highs near 0.6600 and is trading lower on Wednesday as Australian Retail Sales and construction data from May disappointed.

The US Dollar, on the other hand, is trimming some losses as favoured by upbeat US employment and manufacturing data released on Tuesday..

Also on Tuesday, Powell reiterated that the bank should keep waiting for the likely inflationary impact of Trump's tariffs before cutting interest rates and left the market waiting for further US employment figures this week, to assess the chances of upcoming rate cuts.

Technical analysis: Potential "Evening Star" pattern

From a technical perspective, Wednesday's negative candle in the daily chart is on track to complete a "Evening Star" pattern, a common sign for trend shifts, that might confirm a deeper correction.

A break below Tuesday's low, which is also the mid-June top, at the 0.6550 area would confirm the mentioned pattern and bring the June 25 low and the 38.6% Fibonacci retracement of the rally from June 20 lows back to the table.

On the upside, immediate resistance is at Tuesday's high, at the 0.6590 area, and then probably the 161.8% Fibonacci extension of the June 23-24 rally, at 0.6610.