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"The market is not as convinced as it was that the RBA's going to ease further, as the economic data has stabilized."
- Bank of New Zealand (based on Bloomberg)
Pair's Outlook
After almost a week long erosion pair received a bullish impetus from technical levels around 1.04, but for the time being failed to breach weekly R1 and is trading slightly below it at 1.045. Technicals point at further appreciation of the pair (at least in the short term). It might be that we will see a mini double top formation as weekly technicals iare likely to be predicting a dip from 1.05 area.
Traders' Sentiment
Aussie remains on the least bought major currencies across the board (37% of all cases) while the greenback is bought in 60% of all cases. Consequentially, strongly bearish (72%) sentiment on the pair does not come as a surprise. Almost every 3 out of 4 pending orders, however, are to go long on the pair.
© Dukascopy Bank SA