London has started the day with the risk aversion trade alive and well with the EURUSD only just managing to hold above the all important 1.2700 level with a low of 1.2724 seen so far. The story is the same for the AUDUSD and the Cable with new lows being set since London has joined us.
It looks as though the 1.2700 level in the EURUSD is also an important level for the AUDUSD and Cable as well with a break below this level likely to be the catalyst that sees the AUDUSD back to 0.6300 and Cable back below 1.4000 with a return to 1.3700 a distinct possibility.
