AUD/USD to remain under pressure whilst below 200-DMA at 0.7155 – Credit Suisse

AUD/USD extends its pause. Nevertheless, analysts at Credit Suisse stay bearish whilst below the 200-day moving average (DMA) at 0.7155.

Scope for the pause to continue for now

“Whilst we see scope for the pause to continue for now, we maintain our core bearish outlook from a technical perspective and look for strength to eventually fade for a turn back lower to the YTD low at 0.6680, with a sustained close below here needed to prompt a deeper setback to the 61.8% retracement of the 2020/21 uptrend at 0.6461.”

“Whilst above 0.7069 would warn of a stronger recovery, only above the falling 200-DMA at 0.7155 would lead us to reevaluate our negative AUD/USD view.”