All signs hint at further downside for AUDUSD

Back in march Golmans Sachs revised there outlook for AUDUSD, I would have to agree with this outlook as a slowing Chinese economy and a recovery in the US is likely to weigh on AUDUSD. For a while the technical’s indicated further upside, however now they hint at a top in place and a good risk reward would favor going short.

AUDUSD Daily chart

After an earlier attempt to trade above 0.93 in this mornings trading we have seen nothing but selling pressure as traders now eye last weeks lows of 0.9252 on the downside, I like selling this pair now on rallies looking for a move back below the 0.90.