FXstreet.com (Barcelona) - While prospects for a higher Aussie look better if one is to factor in the excellent run of domestic indicators lately, with HSBC’s Australia surprise index uptrending again - measures the extent to which economic activity data releases are above or below market expectations- the bank research team also recognizes, however, that these facts alone are not enough and that the currency "remains extremely sensitive to changes in risk appetite."

HSBC notes: "There are plenty of external headwinds for a highly ‘risk on’ currency out there, and global developments will continue to be the main determinants of the priceaction in AUD-USD. We believe the combination of the four factors outlined below should drag the AUD lower in coming months: The Eurozone is far from being out of the woods, US growth remains sluggish, China continues to cool, Commodity prices have peaked." The bank concludes, "while the domestic momentum remains intact, there are many good reasons to sell the AUD."