To trade in a sideways range of 0.6630/0.6670 – UOB Group

The Australian Dollar (AUD) is expected to trade in a sideways range of 0.6630/0.6670. In the longer run, AUD is likely to edge lower to 0.6620, UOB Group FX analysts Quek Ser Leang and Peter Chia note.

AUD is likely to edge lower to 0.6620

24-HOUR VIEW: “Yesterday, we held the view that AUD “is likely to weaken further, even though the major support at 0.6620 is likely out of reach.” Our view did not turn out, as AUD traded sideways between 0.6642 and 0.6677, closing at 0.6653 (-0.12%). There has been no increase in either downward or upward momentum, and further sideways trading seems likely. Expected range for today: 0.6630/0.6670.”

1-3 WEEKS VIEW: “Our most recent narrative was from Monday (09 Sep, spot at 0.6675), wherein AUD ‘is likely to edge lower to 0.6620.’ We will continue to hold the same view as long as 0.6715 (no change in ‘strong resistance’ level) is not breached. Looking ahead, a clear break below 0.6620 will shift the focus to 0.6580.”