AUD/USD stuck in a sideways trend

AUD/USD has recently encountered the lower boundary of the seven-month bearish channel, meaning the near-term outlook is from neutral to positive. The pair is likely either to stay near 0.78 until it hits resistance trend-line or to attempt to approach a cluster of resistances just above 0.79 before extending the decline from the 2014 high. Meanwhile, the studies insist the Aussie is to lose more value before we see a pronounced recovery.

Despite AUD/USD trading flat the share of bulls in the market jumped from 50 to 63%. At the same time, demand 100 pips from the current price is weakening, as the percentage of orders to acquire the Aussie dropped from 60 to 44%.