The AUD/USD pair rose during the session on Tuesday, slamming into the 1.04 level. This level has been the “middle line” of the larger consolidation area that we have been stuck in for ages now.
With that being the case, we believe that this area will be choppy, and as a result we simply feel comfortable staying out of this market. Until we get above the 1.05 level, we think that the market will more than likely bounce around be very difficult to trade. One of the biggest problems is that the Australian dollar is tied to gold, which is currently going through a bit of a crisis itself.
Written by FX Empire