AUD/USD choppy between 0.7305 and 0.7510 – UOB

In view of the research team at UOB Group, the Aussie dollar is seen trading in a choppy fashion in the next 1-3 weeks.

Key Quotes

“In line with expectation, AUD continues to move lower even though the 0.7305 target was not met (low of 0.7325). The weak closing suggests further downward pressure but 0.7305 remains as a strong support and a sustained break below this level seems unlikely for now”.

“While the pull-back from last Friday’s 0.7650 peak is picking up momentum, only a drop below 0.7305 support would indicate a sustained AUD weakness in the coming days. For now, we hold a neutral view and expect this pair to trade within 0.7305/0.7510 range. That said, downward pressure would continue to increase unless there is a move back above 0.7510 within these few days”.