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– National Australia Bank (based on Business Recorder)
Pair's Outlook
The Aussie behaved in accordance with expectations yesterday, having appreciated and put the down-trend to another test. However, technical studies keep insisting the AUD/USD pair is to continue rising, which implies a breach of the three-year resistance line. The second closest area to limit the gains will be the cluster around the 0.77 major level, formed by the Bollinger band, the weekly and the monthly R1s. A successful breach of this down-trend is also eventually expected to lead the Australian Dollar towards 0.90-0.92 levels, where another strong multi-year trend-line is located.
Traders' Sentiment
Traders remain bearish on the Aussie, as 63% of all open positions are short (previously 58%). At the same time, the number of sell orders declined from 64 to 62%.
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