© Dukascopy Bank SA
"The fiscal standoff is taking a greater toll on risk appetite and is causing more jitters as every day goes by without either side appearing to be any closer. That's increasingly going to encourage people to sell the Aussie dollar."
- Westpac (based on The Sydney Morning Herald)
Pair's Outlook
Pair continues to demonstrate mild bullishness, but at the same time remains capped by the 94 and 95 cents. Due to this pairs outlook remains mostly unchanged. If it dips below the 0.94 we should expect it to trail to 0.929 and, if that would not hold it, to 0.92 where third quartile of expectations of market participants is located. If the pair advances above 0.95, it should breach 0.957 in order to uplift most of the downside pressure, but we don't see it advancing above the 200-day SMA with ease.
Traders' Sentiment
Market sentiment remains exactly the same this whole week now. Bulls account for 65% of all market participants. Distribution of pending orders remains exactly the same as yesterday at 65% of them set to go long.
© Dukascopy Bank SA