AUD/USD temporary top around 0.7740 – UOB

FX Strategists at UOB Group suggested the pair could have carved a temporary top around recent highs in the 0.7740 region.

Key Quotes

“The bullish phase that started one month ago has finally ended with the move below 0.7660 yesterday”.

“The high of 0.7741 seen last Thursday is likely a temporary top. The current pullback from the high appears to have scope to extend lower to 0.7605/10, possibly extending lower to 0.7570”.

“At this stage, any decline is viewed as a corrective pullback and a period of sustained weakness is not expected. Resistance is 0.7710 but AUD has to move above 0.7740 to indicate that the current short-term weakness has stabilized”.