AUD/USD fell for a little while during the Monday session, but bounced quite nicely as the Americans took over. The pair is very risk sensitive, and we are starting to see a pattern of European pessimism followed by American optimism. Because of this, the pair has offered short-term trading opportunities lately more than anything. The 1.01 level has acted as support again, but the area going forward and upward should be resistive. It appears that as the European s go home, it is best to buy this pair, but this would only be a short-term strategy for 20-30 pips. As for a little more solid trading strategy, we are waiting for a rise closer to the 1.05 level to sell weakness, and a fall closer to the 0.99-parity level to buy on signs of support.
Written by FX Empire