AUD/USD: extra gains likely above 0.6845 – UOB

In opinion of FX Strategists at UOB Group, a move beyond the 0.6845 area in AUD/USD would allow for sustained gains.

Key Quotes

24-hour view: “AUD traded between 0.6762 and 0.6798 yesterday, wider than our expected range of 0.6770/0.6800. The subsequent weak daily closing in NY (0.6766, -0.17%) has resulted in an improvement in downward momentum, albeit not by much. From here, barring a move above 0.6800, AUD could drift lower even though the strong 0.6730 support is unlikely to come under threat (minor support at 0.6740)”.

Next 1-3 weeks: “AUD rebounded strongly and swiftly after briefly dropping to 0.6678 earlier this month (07 Aug). Since then, the price action has been mixed as it traded mostly sideways within a 100 pips range (between 0.6736 and 0.6822). While the sideway trading has resulted in a loss in downward momentum, only a move above 0.6845 would indicate that AUD is ready for a sustained recovery. In other words, there are some early signs that the 0.6678 low could be a short-term bottom. Meanwhile, the outlook for the next several days is mixed and AUD could continue to trade sideways for a while more. Looking slightly ahead, a NY closing below 0.6730 would suggest that AUD is ready to tackle 0.6678 low”.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD eases toward 1.1050 amid fears of US-EU trade war, mid-East flare up

EUR/USD has kicked off the week with a slide toward 1.1050, close to its closing levels on Friday. Fears of US tariffs against the EU and the fallout from the attack on Saudi oil installations weighs.


GBP/USD drops to around 1.2450 ahead of Johnson-Juncker meeting

GBP/USD is trading closer to 1.2450, lower. UK PM Johnson will meet EC Commission President Juncker to discuss Brexit amid reports of progress. Tensions in the Middle-East and uncertainty ahead of the Fed impact markets.


USD/JPY looking to close the bearish opening gap amid risk-off

USD/JPY gapped down to 107.44 on Monday’s open as risk appetite is diminished following the attack on Saudi Arabian oil facilities. The spot now trades near 107.80, aiming to close the bearish opening gap ahead of a big week. 


Gold prices shot higher by over 1% in risk-off start to the week

Gold prices have shot higher in the open this week due to the increased tensions in the Middle East following the attack on Saudi Arabia’s oil and gas facilities in Abqaiq which has suspended half of the kingdom’s processing.

Gold News

Forex Today: Oil prices skyrocket after attack on Saudi installation, Chinese economy slows, Brexit talks continue

Here is what you need to know on Monday, September 16: A drone attack on a Saudi oil facility knocked down around 50% of the Kingdom's output and 5% of global production.

Read more