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"While the likelihood of a further rate cut has increased in a broader sense, the Reserve Bank [of Australia] is still in a holding pattern"
- Commonwealth Bank of Australia (based on Bloomberg)
Pair's Outlook
On all relevant timeframes technical indicators suggest absence of any action by the price, which has moved only 10 pips since the start of the day, if we disregard shadows of the candle. Despite the outlook being currently neutral, the risk is to the downside, since fluctuations of AUD/USD are restricted by a major bearish trend-line at 1.0444/49 from above, while supports are deemed to be less reliable, having less confirmations.
Traders' Sentiment
A vast majority of market participants (75%) are short on AUD/USD, meaning there are few reasons to believe that the camp of bears will be reinforced with new sellers. On the other hand, there is almost no difference between the amounts of buy and sell orders in the market, 51 and 49 per cent, respectively.
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