AUD/USD: Focus is now on 0.6775 – UOB

In the opinion of Economist Lee Sue Ann and Markets Strategist Quek Ser Leang at UOB Group, AUD/USD could extend the advance to the 0.6775 level in the short term.

Key Quotes

24-hour view: “While overbought, the strong surge in AUD could extend further. However, a break of the major resistance at 0.6775 is unlikely today (there is another resistance at 0.6735). On the downside, a break of 0.6635 (minor support is at 0.6665) would indicate that the upward pressure has subsided.”

Next 1-3 weeks: “The impulsive upward acceleration in AUD last week was accompanied by strong upward momentum. Further AUD strength is likely even though any advance is likely to be at a slower pace. The level to monitor is 0.6775. Support is at 0.6635 but only a break of 0.6595 would indicate that AUD is not advancing further. Looking ahead, the resistance above 0.6775 is at 0.6820.”