AUD/USD re-tests 1.0353/40 from below

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"We're still seeing strong evidence of high demand for high yield, which underpins the Aussie dollar and New Zealand dollar."
- Royal Bank of Scotland Group Plc. (based on Bloomberg)


Pair's Outlook
Despite a recent strong drop the bulls continue to oppose further debasement of the Australian Dollar, but at the moment appear to be unable to throw the price over 1.0352/40, which consists of the monthly pivot point and 55-day SMA. If this resistance withstands the buying pressure, then AUD/USD is likely to move further towards Mar 4 low at 1.0114.

Traders' Sentiment
Now there are slightly more bullish with respect to the Aussie traders, as their percentage has grown from 25% up to 30%. Nevertheless, the general attitude to AUD/USD is still strongly bearish (70% of positions are short), meaning that the market does not think that the pair is approaching a bottom.
© Dukascopy Bank SA

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