- Fiera Capital Corp. (based on Bloomberg)
Even though the AUD/USD currency pair opened with a bearish gap today, negating all Friday's gains, the bullish momentum is still likely to prevail. There is a tough support area located just below the opening price, that kept the pair elevated since June 30, which is also a catalyst for today's rally. In the meantime, the nearest area to limit the gains is located around the 0.7565 area, represented by the weekly R1 and the Bollinger band. However, the resistance cluster lies out of reach, as the Aussie lacks sufficient impetus for such a substantial rally. Ultimately, we expect the pair to close around 0.7520.
Exactly three quarters of all open positions are short today (previously 72%), whereas the portion of orders to acquire the Australian Dollar edged up from 39 to 61%.