AUD/USD fell to .8153 last night, a marginal new recent low, and the short term trend is turning bearish. Recent experiences of selling into weakness in the hope of a strong bear move have proven costly, so waiting for rallies is the best option I feel. If an hourly base can form here around .8200, look for a move towards .8280 and sell into that.
Cable looks like it might be the weakest of the majors at the moment and with precious little good economic news coming out of the UK, sterling might be starting a weak phase against all other currencies. As I wrote yesterday, even against the commodity currencies like the AUD and NZD, the pound is on multi-year lows. The breakdown level yesterday was around 1.6400 in the cable so I’m looking to sell into a rally towards that level.
