The AUD/USD pair went back and forth on Friday as the 1.04 level continues to offer support. We like the look of this pair, but do recognize the fact that it is risk sensitive, and as a result will be thrown around by various headlines. However, we think that if the US fiscal talks go well and we get some type of solution, this pair really could start taking off. The 1.06 level would be targeted first, and then we could really pick up steam as we had 1.08 and 1.10 or so. As for the downside, we would need to see a break down below the 1.03 level in order to start shorting.
Written by FX Empire