© Dukascopy Bank SA
"It's clear that the RBA would welcome a further depreciation of the Aussie dollar, to assist the economy's rebalancing. It seems the RBA is willing to tolerate an exchange rate of around 90 U.S. cents for now."
- TD Securities (based on Bloomberg)
Pair's Outlook
A combination of the weekly pivot point and the 55-day SMA that coincides with the 38.2% Fibonacci retracement from the Oct 2008—Jul 2011 move has been lately preventing development of a dip, but now it seems the monthly PP is one of only few that carry on defending an important psychological level at 0.87. However, there is no unanimity among the indicators.
Traders' Sentiment
Even though the currency pair is fluctuating quite noticeably, the distribution between the bullish and bearish traders is largely the same as yesterday, namely with a significant skew towards the former, they currently constitute 71% of the market, leaving the bears in a distinct minority.
© Dukascopy Bank SA