To say that the AUD/USD is parabolic at this point is only stating the obvious. The bulls that got involved in this pair 6 weeks ago couldn’t have ever predicted what has happened. However, looking at the chart now – you can see a pullback is absolutely necessary. The 1.10 area is in sight, but a 13 cent move in 5 weeks or so is a bit much. Expect a pullback soon, and look to buy on signs of support at 1.05 and 1.02 levels. Buying at this point is very dangerous as the market has a tendency to punish that late comers to the party.
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