© Dukascopy Bank SA
"The big driver as we see it, the reserve banks in New Zealand and Australia don't like their currencies up here and are actively talking them down."
- HiFX (based on TVNZ)
Pair's Outlook
Pair continues to depreciate and at the moment is testing 0.8123/16. We expect it to be breached in the nearest future and weekly S1 to be tested soon. We do not expect it to hold for long either. This makes key level at 0.80 our main concern. In case of an unexpected recovery, the pair would gave to consolidate at least above the 20-day SMA average to neutralise fair share of the downside risk.
Traders' Sentiment
Bears once again hold tight grip on the market. Today they hold 69% of open positions. It is 2% less than yesterday. However, bearish side of pending orders increased by 22% and is at 63% gauge today.
© Dukascopy Bank SA