The AUD/USD pair surged initially during the session on Wednesday, but as you can see failed at the 1.05 level again. This has formed a little bit of a double top in the short term, and the fact that the candle formed is a bit of a shooting star certainly does little to instill confidence for the buyers. Because of this, we feel that a break of the bottom of this candle will certainly leave the market to fall down to the 1.04 level. At that area, we see quite a bit of support, so we would consider this a very short-term trade. As far as buying is concerned, if we can break the top of the shooting star, that would be extremely bullish and more than likely have this market heading towards the 1.06 level.
Written by FX Empire