The AUD/USD pair initially fell during the session on Wednesday, but rose high enough to test the 0.90 handle again.

This is an area that should year to be very resistive, so some type of resistant candle in this area should be a nice selling signal.

Quite rightly, it should extend all the way to the 0.91 handle, and until we break above that area we are not necessarily comfortable buying this market, and believe that the Australian dollar should continue to weaken over the longer term as it has been in such a downtrend lately.

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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 euro 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.