© Dukascopy Bank SA
"The Australian dollar rose since there had been fears that the number [China GDP] might come in lower. But at the same time, the data wasn't spectacularly good either."
- SMBC (based on CNBC)
Pair's Outlook
AUD/USD has comfortably settled beneath the resistance at 0.9161/29, which in turn is unlikely to let extensive rallies to appear this week. Still, if the price does surpass this zone, there will be no notable levels until 0.9261, above which is the medium-term ceiling formed by 0.9348/16 (a monthly PP and Bollinger band) and 0.9387 (a former three-year low).
Traders' Sentiment
The start of the week is somewhat quiet for AUD/USD, unlike EUR/JPY. The ratio between the long and short positions is respectively 73% to 27% at the moment, meaning that traders were not discouraged by the latest drop in the exchange rate and are still in favour of the stronger Aussie in the future.
© Dukascopy Bank SA