I remain short AUD/USD since yesterday with a profit target at 85 and I expect more Australian dollar weakness going forward as risk-aversion takes over the market sentiment. This week, the Reserve Bank of Australia left its benchmark interest rate unchanged. The market had been pricing a rate hike and the RBA announcement caught many carry traders by surprise. As a result, many currency traders have been selling short AUD/USD since the rate announcement. While AUD/USD long positions are 1.7% stronger since last week, short positions are 34.3% stronger since last week, according to the FXCM SSI, which measures the positioning of thousands of retail traders. Good luck
