In opinion of FX Strategists at UOB Group, additional draw back in AUD/USD is seen going through respectable assist within the 0.7670 space within the short-term.
24-hour view: “The outsized drop in AUD that despatched it to a low of 0.7693 got here as a shock (we have been anticipating AUD to check 0.7800). The sharp bounce from the low amid oversold circumstances suggests additional AUD weak spot is unlikely. For at present, AUD is extra prone to consolidate and commerce between 0.7720 and 0.7820.”
Subsequent 1-Three weeks: “Final Friday (26 Feb, spot at 0.7850), we highlighted that ‘the near-term bias for AUD is titled to the draw back however for now, any weak spot is considered as a part of a 0.7750/0.7950 vary’. We didn’t anticipate the following sharp sell-off that despatched AUD to a low of 0.7693. Regardless of the sharp bounce from the low, the danger for AUD remains to be on the draw back. That stated, any weak spot is predicted to come across strong assist at 0.7670. On the upside, a break of the ‘sturdy resistance’ at 0.7880 would point out the present draw back danger has dissipated.”