- FXPrimus (based on Reuters)
The Australian Dollar experienced a solid rally on Monday, having retaken the 0.75 psychological level, even overperformed, as it climbed over the expected 0.7520 mark. However, RBA's statement prompted AUD-selling today, with the current market weakness of the AUD/USD likely to persist. As a result, the exchange rate could drop back towards the tough support area around 0.7440. Meanwhile, technical indicators suggest otherwise, but there are no other signs suggesting the Aussie is to post gains or recover from its intraday lows. According to the longer timeframe indicators, the Australian currency is to keep gravitating towards the 0.75 mark, with no significant movements ahead.
Today 72% of traders are short the Aussie, compared to 75% on Monday. The number of buy orders inched down from 61 to 34%.