AUD/USD still seen rangebound near-term – UOB

FX Strategists at UOB Group expect AUD/USD to move within the 0.6820/0.6860 range for the time being.

Key Quotes

24-hour view: “Expectation for AUD to “edge higher to 0.6870” did not materialize as traded sideways between 0.6820 and 0.6856. Momentum indicators are mostly neutral and AUD is likely to continue to trade sideways. Expected range for today, 0.6820/0.6860.”

Next 1-3 weeks: “After rising strongly to 0.6862 on Tuesday (03 Dec), AUD has not been able to make much headway as it traded sideways over the past couple of days. The price action was not exactly surprising as we noted on Wednesday (04 Dec, spot at 0.6850) that ‘the two-day rally of +1.30% is running ahead of itself and while AUD is still strong, it may not be ready to challenge the next resistance at 0.6900 just yet’. For now, we continue to hold the same view as long as the ‘strong support’ at 0.6795 (no change in level) is intact.”