AUD/USD drops dangerously close to last week's low

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The U.S. dollar showed strength on the first day of trading in 2017, rising across the board against most major currencies, albeit in holiday-thinned conditions."  
– Market Watch 


Pair's Outlook 
Even though the AUD/USD currency pair ended the last day of the year trading in the red zone, it still managed to retain its position above the 0.72 major level, falling in line with expectations. Nevertheless, the Aussie fell under increased pressure on renewed risk-appetite, causing the 0.72 handle to be breached. Technical indicators also suggest the given pair is to end the day lower, but some recovery is still possible, which could leave the 0.72 mark intact. However, if the weekly PP proves to be not strong enough, all focus will turn to the second demand area, namely the weekly S1 at 0.7165. 

Traders' Sentiment 
Bears keep gaining numbers, as 58% of all open positions are short today (previously 57%). The share of buy orders increased dramatically, adding 41% points. The orders now take up 63% of the market.
© Dukascopy Bank SA

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