AUD/USD extending its sideline theme near term – UOB

According to FX Strategists at UOB Group, the Aussie dollar remains poised for further rangebound between 0.7350 and 0.7550 for the next 1-3 weeks.

Key Quotes

“AUD staged a solid rebound after touching a low of 0.7417 yesterday. Upward momentum is relatively strong and a break above the recent high at 0.7495/00 seems likely. That said, the next level at 0.7550 is a major resistance and the odds for a move this level are not high”.

“There is not much to add as AUD continues to trade in a relatively muted manner. The neutral phase that started about 2 weeks ago is still in place and we continue to expect range trading, likely within a 0.7350/0.7550 range”.