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- HSBC (based on Reuters)
Pair's Outlook
The AUD/USD unexpectedly suffered a small decline on Tuesday, but remained above the Monday's opening price. Today the Aussie is likely to take advantage of the bank holiday in the US and outperform the Greenback. However, a return within the triangle pattern's borders is unlikely, as the trend-line is bolstered by the weekly PP and the 0.71 psychological level, which altogether should limit the volatility. Technical indicators, on the other hand, retain their bearish signals, suggesting the pair could slump towards the Bollinger band around the 0.70 mark.
Traders' Sentiment
Although not as strong as yesterday, but market sentiment remains bullish at 70%. The number of buy orders edged up from 28 to 63%.
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