— Slobodan Drvenica, Windsor Brokers Ltd (based on FXStreet)
Pair's Outlook
The Aussie continues to depreciate against the Greenback. The pair is currently trading within the bounds of a rising wedge in force since mid-November. Today, the Aussie has managed to breach an important support area consisting of the weekly PP, the lower Bollinger band, the 55-day SMA and the monthly PP. This downward motion indicates that the pair is set to test the lower wedge boundary at 0.7592, strengthened by the weekly S1. A breach of this pattern might direct the pair towards a sharp fall. Technical indicators, however, are more bullish.
Traders' Sentiment
Market sentiment is bearish, as 78% of today's traders are holding short positions. Nevertheless, 61% of all pending orders are set to buy the Aussie.
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