With no local data due today, the AUD will have to take trading leads from regional stockmarkets and Yen cross flows. Diplomatic tensions between Australia and China will also be carefully watched, as the Prime minister, Kevin Rudd, adopts a cautious approach dealing with the chinese allegations of spying against RIO staff. Any big sell of in Asian shares will probably see the AUD trade back towards 7780-00.

On the Day there are sellers 7860-70 with trailing stops above that and then larger orders sell above 79c. Buyers will line up at 7780 and above. Im Expecting a quiet trading day in Asia.