AUD/USD to remove the 0.7414 resistance in the next week – Westpac

A somewhat fragile USD in the week ahead should help AUD/USD take out 0.7414 resistance, while Westpac’s year-end target remains at 0.7500.

Key quotes

“Commodities continue to lend support, with our daily measure of Australia’s commodity export prices edging up to 7-year highs, with iron ore above $125/tonne.” 

“Domestically, November produced upside surprises on both retail sales and jobs, while critical state border reopenings add to confidence that the RBA’s easing measures will produce the consumer traction they intended.” 

“A somewhat fragile USD in the week ahead should help AUD/USD take out 0.7414 resistance, with dips perhaps limited to the mid-0.72 area. Our year-end target remains 0.7500.”