AUD/USD still neutral, within 0.7380/0.7480 – UOB

According to FX Strategists at UOB Group, the outlook on the Aussie Dollar in the near term stays neutral, likely within 0.7380/0.7480.

Key Quotes

“We indicated yesterday that “short-term momentum looks constructive but it is too early to expect a sustained upmove”.

“AUD touched a high of 0.7476, just a few pips below the top end of the expected 0.7380/0.7480 consolidation range before dropping quickly to current level of 0.7420”.

“The swift pullback has shifted the pressure to the downside but at this stage, a sustained move below 0.7380 seems unlikely”.

“That said, a clear break of this level would shift the focus to the 0.7330 low seen earlier this month. Overall, the current mild downward pressure would continue to increase unless AUD can move back above 0.7455”.