The AUD/USD pair had a wild ride on Thursday as it initially plunged, but based upon the US dollar falling apart against the Japanese yen, the US dollar got absolutely pummeled against every other currency, and this of course included the Australian dollar. The 0.9650 level did offer resistance though, and we pullback significantly from that level. It should also be noted that on the four-hour chart, we formed a shooting star, which is also a very sign. Our base case is that this market does start to fall again, but would not take a trade until after the nonfarm payroll number came out.
Written by FX Empire