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Thomas Light from Faraday research explains why he thinks the markets are complacent ahead of this week's anticipated Fed rate rise: "If we take a look at the dollar index you'll see that the greenback has weakened during the last five sessions.  This indicates that the market is complacent over the possibility of a rate hike, leaving us with the potential for an upside shock."

One of the ways Faraday is planning to play dollar strength this week is through a commodity-related currency, like AUD especially as the daily candle chart shows that prices have retraced to the top of a powerful descending channel. With the RBA’s policy statement on Tuesday morning, along with the Fed on Thursday, there's expectation of plenty of catalysts to kick start the downtrend again. 

Shorting the Aussie on limit at 0.7140 

Stop: 0.7250 

Targets: Around the recent lows at 0.6905.