AUD/USD still waiting for a close above 0.7710 – UOB

The research team at UOB Group sees the outlook on AUD/USD shifting to bullish on a close above the 0.7710 level in the next weeks.

Key Quotes

“Against our expectation, AUD reversed sharply and rapidly without testing the major 0.7710 resistance first (high of 0.7691). The sharp drop appears incomplete but any further down-move is expected to encounter solid support at 0.7575/80”.

“While the sharp pull-back yesterday has diminished the odds for a sustained AUD strength, the undertone is still positive and a clear break above 0.7710 could not be ruled out just yet. Only a move back below 0.7575/80 would indicate that AUD has lapsed back into a sideway consolidation range”.