The AUD/USD pair fell hard during the session initially on Thursday, but found enough support just above the 0.89 level in order to bounce higher and form a nice-looking hammer. This hammer is essentially based on the 0.90 level, and as a result we feel that this market is trying to form some type of consolidation area between the 0.89 level, and the 0.91 handle. With that, we feel that short-term traders will continue to enter the market, and it will be very difficult to trade this particular pair for anything more than a very short-term gain. We are currently on the sidelines.
