According to UOB Group currency strategists Quek Ser Leang and Peter Chia, the AUD/USD could go higher and visit the 0.7170 region in the short term.
24 hour outlook: “Last Friday, we highlighted that AUD was unlikely to advance further and we expected it to trade sideways within a range of 0.7060/0.7130. Our view on sideways trading was not wrong, although AUD traded within a narrower range than expected (0.7085/0.7128). It would not be surprising if the greenback continues to trade sideways, though likely range higher at 0.7095/0.7140“.
Next 1-3 weeks: “Our view from last Thursday (Aug 11, pair at 0.7080) remains valid. As we have highlighted, AUD is likely to strengthen further and the level to watch is at 0.7170. Overall, the current strength of the Australian dollar is considered intact as long as it does not move below 0.7035 (‘strong support’ level was at 0.7015 last Friday).”
Source: Fx Street
With 6 years of experience, I bring to the table captivating and informative writing in the world news category. My expertise covers a range of industries, including tourism, technology, forex and stocks. From brief social media posts to in-depth articles, I am dedicated to creating compelling content for various platforms.
