© Dukascopy Bank SA
The bearish tendency, which started a week ago, successfully managed to continue, and today the EUD/AUD currency pair experiences another bearish reaction, and at the particular moment the price has already managed to breach the weekly PP at 1.2429, and now the currency couple is heading towards the 20-day SMA at 1.2374, which might slow down the prevailing downtrend. In case it fails to stop the movement downwards, then next support at 1.2336 (weekly S1) will probably bring some bullish impulse. Moreover, the overall indicator outlook is positive, therefore supporting the potential tendency change in the nearest future.
Traders' sentiment
SWFX market participants are neutral about the EUR/AUD currency pair, since 47% of traders old long and 53% of traders hold short positions. In contrast, the situation with orders clearly spots some bearish trend expectations, as only 23% of traders ordered to buy and more than 77% ordered to sell the single European currency.
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