While i am still looking for the AUD/USD to trade at 0.7500 at some stage before the first half of the year is out, it looks like the overbought daily technical studies that i mentioned as a negative for the AUD/USD yesterday have started to work their magic and take us a little lower.
At present we are holding precariously above the initial support at 0.6930/40 but i would be surprised if we did not trade at 0.6830 if not 0.6650 before this pause for breath is done. I would be waiting to initiate longs until we see 0.6780 with a view to adding further at 0.6700 and 0.6680 with a stop below 0.6650.
