As I mentioned earlier in the session, the Aussie is setting up to be a nice selling proposition. I’ve also previously said that we will likely break through the current support level shortly and as it stands the pullback here presents a great opportunity to short.

FOMC minutes are due out late today and will likely be the key driver. However, things have gone a little quiet in the leadup. That said for those who are willing to take on the longer-term move and ride any volatility, then I feel 0.7800 looks a good level to short.

On the 240-min chart we have:

• The 50-period SMA

• Resistance at 0.7800

• Higher time frame momentum to the downside

• Fundamentals pointing to a sell

AUD/USD – 240 min Chart.

The FX Leaders team also have a current sell signal out on the AUD so it’s fair to say the consensus is bearish at the moment.