© Dukascopy Bank SA
"Had we not experienced the sizeable appreciation over recent years, it is highly likely that the economy would have overheated and that we would have had substantially higher inflation and substantially higher interest rates."
- Reserve Bank of Australia (based on The Sydney Morning Herald)
Pair's Outlook
As anticipated, cluster of levels around 1.04 prevented the pair from advancing further. Technical indicators and market sentiment suggest that there is no catalyst in the market which could give strong impetus for the pair. As a consequence, we shouldn't see another attempt to breach the mentioned level anytime soon and it is very likely that pair will stay close, but below 1.04 for some time.
Traders' Sentiment
Bears continue to dominate in the market and at the moment they are holding 72% of all positions in the market. However, bulls are increasing their pressure on bears as 70% of all pending orders on the pair belong to them.
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