AUD/USD looks for support at 0.80

Source: Dukascopy Forex Technical Analysis and Forecasts May 18, 2015 at 9:48 PM 108 0

© Dukascopy Bank SA

"Some of the stimulus for small businesses might actually help reduce the prospect of any further near-term move by the RBA."
- National Australia Bank Ltd. (based on Bloomberg)

Pair's Outlook

Just like EUR/JPY, AUD/USD is struggling to get past a major resistance area created by the monthly R1 and 200-day SMA. After a test of 0.8135 the currency pair is now declining, but it has a good chance of stabilising near 0.80, where the price is supposed to find support represented by the recently established trend-line. Accordingly, we expect a quick rebound back to the 0.8150/00 area during the next few days.

Traders' Sentiment

Same as on Friday, almost three fourths of the traders are long the Australian Dollar, namely 74% of them. Concerning the commands set to acquire the Aussie, over the weekend their share fell from 71 to 64%.

© Dukascopy Bank SA