AUD/USD: a test of 0.72 is not ruled out – UOB

In opinion of the research team at UOB Group, the pair could still visit the 0.7200 handle in the next weeks.

Key Quotes

“As highlighted in previous update, downward momentum is not strong and we expected a slow drift lower to 0.7240 (low of 0.7236 during early Sydney hours)”. 

“From here, further extension lower to 0.7200 is not ruled but the current price action suggests that AUD is trying to form a short-term base for a recovery”. 

“However, confirmation that the bearish phase has ended is only upon a move back above 0.7355 (adjusted from 0.7410)”.