© Dukascopy Bank SA
- UOB Group (based on FXStreet)
Pair's Outlook
With rising oil prices the Aussie managed to post solid gains against its US counterpart on Tuesday, not only successfully retaking the 0.76 level, but with trade also closing at the highest in ten weeks. However, price stabilised in front of a tough resistance area, represented by the weekly R1 and the Bollinger band around 0.7640, while the monthly R1 and the weekly R2 form another cluster circa 0.7675. As a result, the AUD/USD currency pair could fall back towards the 0.76 level, but technical indicators suggest otherwise. In case bulls take over the market, we believe the intraday upper floor will be the 0.7670 mark.
Traders' Sentiment
Nearly three quarters (74%) of all open positions are short today, compared to 72% on Tuesday. Meanwhile, the portion of sell orders barely changed in the last 24 hours, having fallen from 53 to 52%.
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