AUD/USD rose, and then fell on Thursday as traders simply cannot hold above the all-important 1.05 level. The Jackson Hole announcement later today will decide if there is any potential QE3 coming out of the USA, and if so - commodities will skyrocket. Under that scenario, the AUD/USD should have no problem rising above the 1.05 area. If not, this pair could continue to look weak, perhaps even retesting the 1.01 area for support.
The NZD/USD pair is in a similar boat, being another commodity currency. The candle shape suggests that weakness could be ahead, but the wildcard is the speech. The hint of QE3 will more than likely make this currency pair a favorite for FX traders to the long side. If not - then we could drift lower, perhaps even testing 0.8000 as support. If that gives way - look out below!
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