The Australian dollar went back and forth during the day on Wednesday, breaking above the 0.75 level. At this point, a rally will continue to face a little bit of trouble above, but more importantly you have to pay attention to the gold market, which has such a massive influence on the Australian dollar. An exhaustive candle above tells me to start selling, but it looks as if in the short term the Australian dollar will continue to gain, albeit very choppy. If we can break down below the bottom of the session on Wednesday, we can turn things back around and start dropping towards the 0.74 handle.
Written by FX Empire