The AUD/USD pair broke higher during the day on Tuesday, clearing the top of the Monday hammer. We suggested that this market would go higher, and it did exactly that. However, we have a significant amount of resistance between the 0.9450 and the 0.95 handle, meaning that we will have to be very cautious about taking long positions at this point. I daily close above 0.95, we would be much more comfortable going long. Until then, we will look at this market with caution, and keep our trading capital safely on the sidelines.
