The AUD/USD pair broke through the 1.04 level during the Tuesday session as resistance gave way slightly. However, we are not ready to go long of this pair until we break the highs of the Tuesday session itself. This would roughly have us above the 1.0450 handle, and at that point time we would expect a return to the 1.06 handle before was all said and done.
As for selling this market, we would sell aggressively if we managed to break down below the 1.03 handle, something that looks like it’s not going to happen in the near-term. However, if it does we would become aggressive sellers of the Australian dollar.
Written by FX Empire