© Dukascopy Bank SA
- ANZ Bank (based on the Australian)
Pair's Outlook
At the moment the Australian currency is on a sideways trend and it seems that traders are waiting for more volatility. We see the Aussie as overbought and to our mind it is unlikely that it could break the weekly PP at 0.9271. The next target for pair's bears could be the weekly and monthly S1 at 0.9176/71, which together with 100 and 200-day SMAs is rather significant level. Nonetheless, if this level is breached then the pair could fall to as low as the monthly S2 at 0.9061.
Traders' Sentiment
The SWFX traders are getting more convinced that the Aussie is going to gain relative to the U.S. Dollar; but overall the bears are still in a majority, as they take up 52% of the market.
© Dukascopy Bank SA