- Rabobank (based on WBP Online)
The AUD/USD currency pair edged down yesterday, as was anticipated. The weekly PP failed to prevent the pair from falling deeper, as expected, and the Aussie settled at 0.7896, with only four pips away from the target. A significant recovery is likely to occur today, while technical indicators keep giving distinctly bullish signals. The weekly PP now acts as immediate resistance, but the rally should exceed this level. A stretch towards 0.80 is possible, but the trade is more likely to close around 0.7950.
Market sentiment of SWFX traders improved again, as 72% of all positions are long (previously 71%). Buy commands keep losing ground, as 65% of all orders are now to sell the Aussie.