- Philip Moffitt, Goldman Sachs (based on Bloomberg)
The AUD/USD ended the year consolidating around the 0.7290 level, while the new year began with a the Australian currency suffering a sharp decline. Disappointment in Chinese manufacturing data was the main reason of the Aussie's weakness today, causing the pair to drop as low as the 0.72 major level. For the moment the Antipodean currency was able to move away from the intraday low, as the weekly S2 and the 55-day SMA around that area provided sufficient support. As a result, the Australian Dollar might end the day within the immediate support cluster around 0.7245.
Nearly three quarters (74%) of all traders hold long positions today, while the percentage of sell orders now takes up 84% of the market.