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- UBS (based on FXStreet)
Pair's Outlook
Positive US fundamentals were insufficient to strengthen the American Dollar against its Australian counterpart last Friday. As a result, the AUD/USD currency pair surged 85 pips, reaching the highest level since August 2015, but the Aussie is now under the risk of returning even below the Dec 2015 high. The immediate support at 0.7396, represented by the Bollinger band, is rather weak, while the closest resistance is also located close by—at 0.7409. The Antipodean currency could remain caged between these two levels, as technical indicators suggest, but a small rally is the base case scenario, as the pair is likely to close its today's bearish gap.
Traders' Sentiment
Today 66% of all open positions are long (previously 64%), while the share of buy orders increased dramatically from 30 to 53%.
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