AUD/USD advances from weekly PP

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The persistent high dollar, as well as squeezing exporting jobs, also squeezes the profits of exporting firms: With lower profits for these companies comes lower company tax going to Government." 
- Australian Prime Minister (based on Reuters)


Pair's Outlook

The Aussie starts a week by firmly appreciating towards a very strong resistance at 1.0349 area, where the 55-day SMA converges with the weekly R1 and the monthly PP. Further advancement might be slow and difficult, being that there are many important levels underlying above. Firstly, the pair will have to overcome the 20-day SMA at 1.0359 and, secondly, the 100-day and 200-day SMAs at 1.0383.

Traders' Sentiment
Bears found even more resources to enlarge their share, as it increased by 2% and reached 74%. Considering the current price movement and market sentiments, the pair should face a radical drop soon. Waiting orders market is bullish, since 58% of orders are long.
© Dukascopy Bank SA

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