AUD/USD glued to 0.72, awaits Fed meeting
"Only a break above 0.7270/0.7350 will mean further rebound towards key resistance of 0.75, the 23.6% retracement from July highs, which should cap any recovery."
- Societe Generale (based on FXStreet)
Pair's Outlook
The Aussie managed to reach the target level at 0.7230 yesterday, but the psychological level of 0.72 still somewhat limited the exchange rate. The AUD/USD pair closed at 0.7207, barely climbing over the six-month resistance line, which is likely to cause the Australian currency to bounce back today, as it is also reinforced by the monthly R1, the Bollinger band and the weekly R3. Immediate support lies around 0.7175 in face of the 55-day SMA and weekly R2; however, a decline might fail to occur if the Fed provides a dovish tone, postponing the interest rate hike.
Traders' Sentiment
Today 74% of traders hold long positions, compared to 73% yesterday. The share of buy orders also improved, from 37 to 41%.
- Societe Generale (based on FXStreet)
Pair's Outlook
The Aussie managed to reach the target level at 0.7230 yesterday, but the psychological level of 0.72 still somewhat limited the exchange rate. The AUD/USD pair closed at 0.7207, barely climbing over the six-month resistance line, which is likely to cause the Australian currency to bounce back today, as it is also reinforced by the monthly R1, the Bollinger band and the weekly R3. Immediate support lies around 0.7175 in face of the 55-day SMA and weekly R2; however, a decline might fail to occur if the Fed provides a dovish tone, postponing the interest rate hike.
Traders' Sentiment
Today 74% of traders hold long positions, compared to 73% yesterday. The share of buy orders also improved, from 37 to 41%.