Daily Forex Update: AUD/USD

Many traders watch both the Gold market and the AUD/USD at the same, looking for correlations. This is because the AUD/USD is a "commodity currency," meaning that it tracks with certain commodity futures markets – in this case, precious metals. For many years the connection between Gold and the AUD/USD was strong, but once speculators took hold of Gold that connection slowly dissolved. Notice that Gold’s 60-minute chart is rallying higher – but not pulling the AUD/USD higher along with it. There is a chart-based case to be made that Gold could find selling pressure and intraday resistance within the Autochartist Forecast area between 1265 and 1252 (F); however, Gold has made a new high and the momentum behind that move should not be underestimated.