AUD/USD jumps from 55–day SMA

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"At the moment, I can't see any real reason for outright selling of the Aussie, it may just hold in a very tight range around about where it is now." 
- Rochford Capital (based on The West Australian)

Pair's Outlook
Pair opened below 55-day SMA and it took a bit of a time to breach it, but once it did pairs advanced was rather quick and after appreciating by more than 50 pips today it is trying to return to week end levels and at the moment is testing the strength of the cluster of resistance levels around 1.04. Looking at technicals indicators we come under the impression that pair is lacking catalyst and probability of it advancing above the mentioned cluster is rather low at the moment.

Traders' Sentiment
Bears increased their positions by additional 1%, but it continues to heavily fall behind bulls who account for 71% of all market participants. Pending orders remain heavily in favour for the bulls (65%) suggesting bulls should continue having these small gains in market share.

© Dukascopy Bank SA

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