[B]AUD Signal: Neutral [/B]
[B]
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[B]AUD:[/B] The recently sharp pullback in the AUDUSD has coincided with a similarly pronounced paring of net-speculative AUD longs. Given that bullish sentiment is far from extreme, we believe that the AUDUSD has further room to run before a major reversal. Yet we likewise caution that recent highs have seen a very notable bearish divergence with speculative sentiment. Our mixed assessment nonetheless leaves us with little choice but to expect further AUDUSD gains through the medium term.