The AUDUSD pair fell slightly during the session on Monday, but as you can see we are well supported near the 0.9350 level. Because of this, we feel that the fall will be short-term at best, and as a result we would buy a supportive candle near that region.

Ultimately, the real question is whether or not we can break above the 0.95 handle.

If we do, the market goes much higher, heading to the parity level given enough time. However, we recognize that the 0.9450 level is the beginning of the resistance, and that it will be a serious struggle to get above there.

Editor’s Note: Equity investors/traders can use the Currency Shares Australian Dollar Trust (FXA, quote) ETF to take positions in the Aussie dollar without a FOREX account.  The ETF looks to track the price of the Aussie dollar (AUDUSD), minus ETF fee. The fund seeks to reflect the price of the Aussie dollar (AUDUSD) with the shares representing a cost-effective investment relative to investing in the FOREX market.

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