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– MUFG (based on FXStreet)
Pair's Outlook
The Aussie appreciated only 14 pips against the US counterpart on Monday, climbing over the weekly PP, but remaining under the four-year down-trend. Nevertheless, an upside breakout is expected today, with the main triggers being a surge in oil prices and the RBA's hawkish stance earlier today. Moreover, technical indicators are now giving distinctly bullish signals in the daily timeframe, bolstering the possibility of the positive outcome. Consequently, the main target becomes the second resistance cluster around 0.7750, represented by the weekly R1 and the Bollinger band.
Traders' Sentiment
Bearish market sentiment remains unchanged at 72%, whereas the number of orders to sell the Australian Dollar increased from 57 to 64%.
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