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- BNP Paribas (based on Reuters)
Pair's Outlook
The Aussie not only successfully retook the 0.74 major level, but also managed to climb over the tough resistance area, located circa 0.7430. Earlier today the Australian Dollar experienced a sharp sell-off, but this dip was quickly bought back due to the US Dollar weakness. The cluster of SMAs is now providing immediate support, while the weekly PP at 0.7481 acts as the nearest resistance. According to technical indicators, the bullish development is likely to prevail, which would mean a retest of the weekly PP. A breach of the pivot point is to provide the AUD/USD currency pair with more momentum in order to eventually reach the down-trend near 0.7750.
Traders' Sentiment
Bearish market sentiment returned to its Monday's level of 73%, whereas the share of sell orders edged lower from 72 to 53%.
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