© Dukascopy Bank SA
As AUD/USD failed to cross the resistance at 0.9461 three weeks ago, it came under strong selling pressure that still persists. Right now the currency pair is undergoing a bullish correction, but the rally is expected to end rather soon, near 0.93. There it will face the resistance represented by the weekly PP, 200-hour SMA and falling down-trend, and thus will most likely resume the decline. This sell-off may in turn extend to 0.92, specifically the lower trend-line of the bearish channel. Similar scenarios are shared by a majority of the SWFX market participants, being that 66% of them are holding short positions at the moment.
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