- The Aussie has been its trending up over the last couple of weeks.
- Given the RBA outlook on Aussie GDP and Rates - we don't think buying this strength is the right side of the trade. This is also coupled with very weak commodity prices and taking into account's the Aussie's strong long term correlation to this.
- Prices may present a shorting opportunity given the bearish divergence and a close below the longer term down trend line.
Let's see how this unfolds.
- Given the RBA outlook on Aussie GDP and Rates - we don't think buying this strength is the right side of the trade. This is also coupled with very weak commodity prices and taking into account's the Aussie's strong long term correlation to this.
- Prices may present a shorting opportunity given the bearish divergence and a close below the longer term down trend line.
Let's see how this unfolds.