The AUD/USD pair retraces to near 0.6400 during European trading hours on Tuesday. Earlier in the day, it reached an over four-month high of 0.6450. This notable correction occurs as the US Dollar (USD) strengthens, fueled by increasing uncertainty over the bilateral trade outlook between the United States (US) and China. As market sentiments fluctuate, traders remain vigilant, watching closely for potential developments that could impact the Australian Dollar and its performance against the USD. This shifting landscape makes AUD/USD an intriguing pair to monitor in the coming days. Investors should stay informed about any changes that may arise in the US-China trade dialogue, as these can significantly influence currency movements. For now, the focus rests on the 0.6400 level, which could serve as a critical point for traders looking to capitalize on price movements in this developing scenario.