The AUD/USD pair fell initially during the session on Wednesday, but found enough support near the 0.8950 level to turn things back around and form a hammer.

This hammer of course suggests that the market is going to go higher, and on a move above the big figure at the 0.90 handle, we are willing to buy and aim for the 0.91 level.

We recognize the fact that this market continues to get choppy, but we are starting to show signs of a reversal longer-term, which could make the Australian dollar one of the better buys over the next several months.

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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 euro, minus ETF fee. The fund seeks to reflect the price of the euro with the shares representing a cost-effective investment relative to investing in the FOREX market.