AUD/USD rose on Friday as the markets bought the commodity currencies on the whole. Even with the oil markets falling, the gold markets did well. The Aussie is very sensitive to these moves in the gold markets, and the rise could be a result of the end of year position squaring that a lot of traders must be doing. The pair looks like it is about to run into serious resistance at the 1.03 level, and as a result we are willing to forego any longs at this point. The 1.05 level above that looks resistive as well. The highs have been lower over time, and the economic situation around the world is shaky at best, so we are willing to wait until higher levels like the 1.05 mark to sell on weakness as the headline risk is most certainly to the downside.
AUD USD Forecast January 2, 2012, Technical Analysis
Originally posted here
