© Dukascopy Bank SA
"Risk is back on and the Aussie is back over 90 cents. It will range-trade there until (Australia's December) capex data on Thursday."
- TD Securities (based on The Economic Times)
Pair's Outlook
After hovering for a few days above it the pair received a bullish impetus from 20, 55 and 100-day SMAs and has advanced above monthly R1. We expect the bulls to take a step back here and let the pair to consolidate, but any bearish moves are rather unlikely. Weekly R1 is likely to be tested in the nearest future. Even if it will be eroded the pair lacks, at least for now, support to reach new high above 0.8433.
Traders' Sentiment
Market is once again dominated by the short traders. The continue to hold 72% of all of the open positions. Their share of pending orders expanded by 5-30%, depending on the range, and is at least at 64% level today.
© Dukascopy Bank SA