AUD/USD continues to look weak on Monday as traders bought risk on currency pairs towards the end of the US session. The pair looks weak because it is lagging the other commodity related currencies, and adding to that is the idea that the RBA will release it's monetary minutes this morning. Any mention of a possible rate cut gets this pair running towards parity. The upside is capped by both the 1.05, and the various bad news we are seeing around the world.
The AUD/NZD pair looks horribly weak, and a break of the 1.23 area is a long-term selling signal. This pair isn't a favorite to trade, but it does show relative strength in the Antipodean currencies, and as a result - it looks like Australia could fall much more than New Zealand as a whole.
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