The AUD/USD pair initially rallied during the session on Wednesday, but as you can see the 1.02 level did offer enough resistance in order to form a shooting star. This shooting star is at the bottom of a significant selloff, although it is above the 1.01 handle which looks to be very supportive. While this isn’t a trade signal in and of itself, it does suggest that perhaps the support level is in more trouble than we had originally anticipated. With this being said, a break below the 1.01 level looks a little bit more likely today than it did yesterday, and if that does in fact happen we would become aggressive sellers.
Written by FX Empire