- IG (based on WBP Online)
After trading flat on Tuesday, the Australian Dollar managed to extend the rally on Wednesday. The AUD/USD pair experienced substantial volatility, but ended the trading session in front of the immediate resistance level, namely the 20-day SMA. Nevertheless, the Aussie is expected to plunge back under the 0.77 area. The weekly PP remains the closest significant support, but a fall down to 0.76 is also possible if the US fundamentals show better-than-expected figures. Technical indicators also remain bearish, but not as much as in the previous two days.
Three quarters of all positions are now long, up from 72%, whereas the share of orders to acquire the Aussie retreated from 51 to 46%.