AUD/USD points to further rangebound – UOB

In opinion of FX Strategists at UOB Group, the near term outlook on AUD/USD signals further consolidation between 0.7350 and 0.7550.

Key Quotes

“AUD registered a 0.7435/0.7496 range last Friday, rather close to our expected consolidation range of 0.7430/0.7500. From here, 0.7495/00 is acting as a strong resistance and as long as this level is not taken out, a move lower towards 0.7505/10 seems likely (even though as sustained move below this level is not expected)”.

“AUD continues to trade mostly sideways and the neutral phase that started late last month is still intact. In other words, expect further range trading between 0.7350 and 0.7550 for now”.