AUD/USD fell during the week as the risk off trade continued. The Chinese economy will be vital for the future of the Aussie, and with signs of a possible slowdown in that area – the Aussie will struggle from time to time as exports to that area are such a massive part of the demand for the Aussie dollar.
The pair did manage to bounce from the 50% Fibonacci level, and this could be the beginning of a return to the uptrend. Because of this, we are mildly bullish of this pair now, and will wait to see a green candle on the weekly before we go long. Selling isn’t an option at the moment, as there seems to be far too much in the way of support below the current levels.