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- Commonwealth Foreign Exchange (based on MarketWatch)
Pair's Outlook
The sell-off persists, but one of the key supports, the one at 0.9321, for now remains intact. Should it eventually give in to the pressure, AUD/USD will most likely extend the losses through the 100-day SMA down to 0.9160/35, a cluster of weekly S1, monthly R1 and 55-day SMA. If, on the other hand, 0.9321 halts the decline, the currency pair will have a chance to challenge 0.9528/04 one again.
Traders' Sentiment
Inability of the Aussie to recommence the upward trend does not discourage the market participants. Most (65%) of them are still holding long positions, possibly viewing the present decline as a setback that will soon be reversed. The distribution between the buy (64%) and sell (36%) orders, in fact, was affected—it is now more skewed in favour of the former than yesterday (58%).
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