AUD/USD sticks to the rangebound theme – UOB

UOB Group’s FX Strategists noted AUD/USD is now seen navigating within the 0.7520-0.7650 range for the time being.

Key Quotes

24-hour view: “Last Friday, we highlighted that AUD ‘could edge higher but a sustained rise above 0.7600 is unlikely’. We added, ‘the next resistance is at 0.7620’. Our view was not wrong as AUD rose to 0.7616 before pulling back. Upward pressure has waned and AUD is unlikely to strengthen further. For today, AUD is more likely to trade within a 0.7560/0.7610 range.”

Next 1-3 weeks: “There is not much to add to our update from last Friday (25 Jun, spot at 0.7585). As highlighted, the recent weakness in AUD has come to an end. The current movement is viewed as the early stages of a consolidation phase and AUD is expected to trade within a 0.7520/0.7650 for now.”