© Dukascopy Bank SA
"The market is struggling to find an end point of how high the Australian dollar will go. It is trading into the unknown on how high it can get to in the near term, because there's not much to stop it."
- Pepperstone (based on The Sydney Morning Herald)
Pair's Outlook
Pair failed to extend it's gains as it was not able to advance above 93 cent mark. However, we do not think this bearishness will last much longer and expect the pair either to consolidate around 0.9250 or to try to reach new high next week. Monthly R2 should not cause much trouble, but the pair should show a solid close above the 93 cent mark in order for it to advance further.
Traders' Sentiment
Despite the tremendous recovery in bullish side of pending orders few days ago, it contracted by 15-20% and is at 40-45% level, depending on the range around current market price, today. Long side of open positions contracted by additional 3%, till 41%.
© Dukascopy Bank SA