Despite the lofty gains in the Australian dollar, commodity prices have meant it now looks undervalued. Any short-term dips in the Australian dollar now need to be bought.

If the Fed ceases hiking, against the backdrop of still rising commodity prices, then the Australian dollar will have few reasons for resisting any topside advances.

We're seeing investors buy on the dips but, in the short term, we have to be cautious. There's no real good news and there's nothing really to send this market forward so we have to be cautious.

The Canadian dollar is seen as a commodity currency and metal prices have been going up across the board, commodity prices are up.

Commodity prices look sustainable in the short term. Analysts are expecting spectacular results in the coming mining reporting season in February, and if we see profits and cash flows coming close to expectations then we may well see the continuation of the positive sentiment in resources stocks.

It looks like China's reaction in the short-term is imperceptible.