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– Credit Agricole (based on Business Recorder)
Pair's Outlook
The Australian Dollar appreciated against the Greenback for the third consecutive day yesterday, but with the four-year down-trend limiting the gains. Earlier today volatility extended to yesterday's maximum, but the current four-month bullish trend risks coming to an end. Technical indicators somewhat support this outlook, as their signals shifted from bullish to mixed, creating a possibility of a decline today. The previously-mentioned down-trend is still supported by a number of resistances, making a breach to the upside difficult and a bounce back more probable. We see a 15-pip rally over the day, with the bearish momentum taking over the next day.
Traders' Sentiment
Nearly three quarters (74%) of all open positions are currently short, while the portion of buy orders lost 5% points, having fallen to 69%.
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