AUD/USD keeps the bearish stance, could test 0.7420 – UOB

In view of analysts at UOB Group, AUD/USD’s outlook remains bearish and risks a re-test of the 0.7420 area in the next weeks.

Key Quotes

“AUD edged above the strong 0.7510 resistance (high of 0.7522) and closed on a strong note for the day. The current AUD strength could extend to 0.7540 but the key resistance at 0.7560 is likely strong enough to cap any further advance”.

“While the strong rebound yesterday has dented the downward momentum somewhat, only a move above 0.7560 would indicate that a short-term low is in place. Otherwise, another leg lower to 0.7420 cannot be ruled out just yet even though the odds for such a move have diminished”.