AUD/USD consolidating around 0.84-0.88

Aussie-greenback cross seems to have lost bearish momentum and is taking step back. We expect it to continue consolidating around 87-88 cent mark. Dip below the 86 cent mark, however, might provoke a major sell off. In case for the pair to climb higher it should peak above the 2013 low/weekly R1/20-day SMA at 0.8822/63. That would put 55-day SMA/monthly PP/weekly R2 around 0.895/8 on the map.

Virtually no change is observed in market sentiment. Bulls continue to hold overwhelming majority (71%) of all of the open positions. Bears maintain the pressure as majority of pending orders (69%-76%) are set to go short on the pair.