"The pair may enter consolidative /corrective phase ahead of cluster of resistances at 0.7600/20 zone, as near-term studies are extremely overbought. Downticks should hold above broken 200SMA to keep fresh near-term bulls in play for further upside action."
— Slobodan Drvenica, Windsor Brokers Ltd (based on FXStreet)
Pair's Outlook
Australia's better-than-expected employment data and the Trump Tumble left the Aussie in the green area on Wednesday. Today's upside volatility demonstrates that investors are starting to react heavily to these fundamentals, pushing the pair through the weekly PP and the 200-day SMA towards the weekly R1 at 0.7597. It is doubtful that the pair will change its upwards direction or close above the weekly R1. The volatility, however, may loose ground, limiting investor gains. Technical indicators suggest that the pair should continue its movement north in the remaining trading week.
Traders' Sentiment
53% of traders are holding long positions today. Meanwhile, 52% of pending orders are to buy the Aussie (previously 39%).
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