"Mixed Chinese inflation report triggered little enthusiasm in Australia. The data eased inflationary concerns in China, suggesting that People's Bank of China (PBoC) wouldn't be constraint to tighten the monetary conditions while the future of the U.S.-China trade relationship remains uncertain."
— London Capital Group
Pair's Outlook
Tuesday's closing in the red zone suggests the dominance of the double top pattern over any upside risks, indicating that a sharp decline may be due. The pair opened slightly above the monthly S1 at 0.7498; it is expected that this level will be breached, pushing the Aussie down towards the lower Bollinger band. Technical indicators demonstrate that a short-term upside correction is possible in the nearest time that may in turn result in moderate intraday gains.
Traders' Sentiment
Traders' sentiment has turned bullish, as 52% of all traders are holding long positions. In contrast, 61% of pending orders are to sell the pair.
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