AUD/USD: Temporary bounce faces resistance at 0.7170 – OCBC

The AUD/USD pair gained some traction amid the softening broad USD, seeing it break above the 0.7100 level. Nonetheless, Terence Wu, FX Strategists at OCBC Bank, believes the aussie should head lower in the coming sessions as the negative fundamentals for the Australian dollar lingers.

Key quotes

“Looking forward, the main negatives for the aussie has still not changed. With the RBA expecting to cut rates and global commodities prices still weak, do not rule out the pair resuming its downward move in the next few sessions.”

“Initial support at 0.7100 while resistance is now set at 0.7170.”