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"I think the fiscal cliff is the main thing influencing the market overnight. It has managed to keep risk appetite low, and weaken the Aussie dollar."
- Bank of New Zealand (based on The Australian)
Pair's Outlook
After a minor recovery yesterday pair continued its rally and managed to depreciate more than 50 pips today. AT the moment it is testing the strength of a 55-day SMA. Technical indicators predict a short term recovery which is rather plausible as the whole are between 1.042 and 1.038 has a major technical level every 10-15 pips which should give a at least a minor bullish impetus. However, medium term outlook suggests we should see pair dipping to 1.03.Traders' Sentiment
Bears continue to dominate in the market—their share in the market increased by 3% and now they constitute for 73% of market participants. Distribution of pending orders does not suggest any changes as they are almost equally divided between the bears and bulls.
© Dukascopy Bank SA