The AUD/USD pair gapped down at the open for the Monday session like all “risk related” pairs, but the markets turned back around in the end as the gaps were all filled. The Aussie gave back some of the gains for the session in order to close right at the 1.02 level. The failure to stay above that handle suggests to us that there is still significant risk to the downside in this market. In fact, we are willing to sell at this point as we already have a sell signal based upon the bearish flag that we pointed out a couple of days ago. Buying isn’t a thought at the moment.
Written by FX Empire