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"The markets have been excessively pessimistic. We're seeing some buying back in the Aussie and kiwi because they've been falling too rapidly."
- Mizuho Securities Co. (based on Bloomberg)
Pair's Outlook
AUD/USD fell further today on the Euro zone concerns, approaching the lower Bollinger line. Although the levels at 0.9742 and 0.9705 have been tested, exposing Weekly S2 at 0.9648, for now the pair failed to hold below the Bollinger band, thus a bullish correction might follow suit.
Traders' Sentiment
Bearish traders' sentiment has deteriorated since the last report. Although the pair is still oversold, short trades now are making up
59%, while yesterday it was 69%. Within 100-pip range, the share of bearish traders increases, with 76% of investors awaiting the pair to decline further.
© Dukascopy Bank SA