AUD/USD rebounds on rising oil prices

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"AUD/USD should continue to find support on dips given the unusually large M&A pipeline into Australia, broadly positive domestic data reinforcing the RBA's steady hand and potential spill over from EUR carry trades post-ECB easing." 
- Westpac (based on FXStreet) 


Pair's Outlook 
Upon reaching the immediate resistance, the AUD/USD currency pair was pushed back, losing a total of 14 pips over the day. The nearest support remains out of reach at 0.7263, while the immediate resistance weakened with the Bollinger band leaving the cluster. As a result, the Aussie could rally towards the weekly R2 and monthly R1 at 0.7335, while the Bollinger band suggests gains might extend up to 0.7360. Meanwhile, technical indicators and speculation on Saudi Arabia cutting oil production are bolstering the Australian Dollar's possibility to erase yesterday's losses today. 

Traders' Sentiment 
Three quarters (75%) of traders are now long the Aussie. At the same time, the portion of buy orders declined from 39 to 38%.
© Dukascopy Bank SA

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