Some conflicting reports out of the Aussie market which would go a long way to explaining the recent range trading phase. Real money accounts seem to have turned into net sellers, after a period of heavy buying at the height of the EZ Sovereign bond scares, and this supply is certainly weighing the AUD down. On the other hand, option books are said to be heavily skewed to the downside and dips are finding grateful buyers; there are also said to be some very heavy stops above 1.0850 and 1.0900. China has also reportedly been a net buyer over the last 4/6 weeks.
All told, it looks like the bulls might be holding the slightly better cards when it comes to interbank flows.
