The local interbank dealers are a bit bearish on the AUD this morning. The risk-off-Friday sentiment which I just mentioned is one reason. The other being that 1.0500 was a big option level and now that it’s been reached and with little or no follow through, we may have a short-term top in place as some mild bullish exhaustion sets in. Most are looking at a range today of the order of 1.0390/1.0490 and as we are nearer the top of this, they’ve opened with a bearish bias.
AUD/USD presently at 1.0454 from an opening level at 1.0470.
