AUD/USD further rangebound likely – UOB

In opinion of FX Strategists at UOB Group, the Aussie Dollar should keep the sideline theme between 0.7600 and 0.7730 in the next weeks.

Key Quotes

“AUD eked out a fresh high of 0.7750 before plummeting to close on a very weak note. The sharp drop appears incomplete even though any decline is expected to face solid support near 0.7630”.

“AUD eked out a fresh high of 0.7750 but was unable to hold on to its gain. The subsequent sharp drop from the high indicates that the upward pressure post-FOMC has eased off. A temporary top is likely in place at 0.7750 and AUD is deemed to have moved into a sideway-trading range. That said, the immediate bias is for a probe lower towards the low end of the expected 0.7600/0.7730 consolidation range”.