© Dukascopy Bank SA
"Everybody expects some resolution to the fiscal cliff. The better the solution, the smoother it is, the easier it will be for the economies to grow, which is good for Australia's dollar."
- St. George Bank Ltd. (based on Bloomberg)
Pair's Outlook
Today AUD/USD bounced off the monthly R1 at 1.0472, and now the currency couple is about to test the weekly PP at 1.0421, which is expected to bring some bullish impulse, but if it fails to slow down the downtrend, then the price might test the 20-day SMA, which in turn will probably reverse the prevailing trend. In addition, the overall indicator outlook is positive, therefore a soon tendency change should be expected.
Traders' Sentiment
SWFX market participants maintain pessimism about the AUD/USD currency pair, since 73% of traders hold short positions. The distribution of orders, however, is quite mixed, as 44% of traders ordered to buy and 56% ordered to sell the Australian Dollar.
© Dukascopy Bank SA