We are seeing a classic FX-market consolidation period with the AUD market full to the brim but, with news remaining bullish, there is no reason to sell. RBA watcher Terry Mc Crann has come out and said that the RBA will definitely raise by 25 bps in early December as their next meeting after that is not for another two months. With commodity prices still high and rising and demand from China in particular not slacking off, there seems little reason to be short AUD/USD in particular. But if the market is very long, where will the fresh buying come from? If in doubt, consolidate.

Option barriers at .9500 may still become a target especially while the market remains bid-on-dips above 92 cents.