AUD/USD to rebound from 1.0534/60

AUD/USD continues to step higher and is rapidly approaching the declining trend-line at 1.0534/60, which in turn in followed by another resistance at 1.0599/1.0624. As the pair progresses, the likelihood of a reversal increases, though technical studies do not confirm it and give mixed signals. Nevertheless, in the long term we may expect the pair to remain within a sideways channel, fluctuating from 1.0560 to 1.0181.

Yesterday's tendency of strengthening bullish sentiment did not find its continuation today, as dominance of bears on the contrary enhanced, being that there are currently three out of four positions short (74%). On the other hand, the ratio between buy and sell orders does not give any clear insight into preferences of the market, being 49% to 51%, accordingly.