© Dukascopy Bank SA
- Commerzbank (based on Business Recorder)
Pair's Outlook
Even though the Australian Dollar remained relatively unchanged against the US counterpart on Monday, more bearish momentum is expected to follow, as the pair breached an 11-month up-trend last week. The area around 0.7510 is to limit the losses, represented by the monthly S1, the 200-day SMA and the Bollinger band, a breach of which is likely to put the weekly S1 at 0.7456 in focus. However, technical indicators are no longer giving bearish signals in the daily timeframe (now mixed), unable to confirm the scenario. Once the AUD/USD pair falls below 0.75, the main target will still be the 0.7465 level, as this area kept the Aussie afloat for more than four months now.
Traders' Sentiment
Today 65% of all open positions are short, compared to 66% on Monday. The number of sell orders increased from 57 to 70%.
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