AUD Corrects, Rebounds Within Range as UOB Sees Deeper Pullback Ahead

According to UOB's Quek Ser Leang and Lee Sue Ann, the Australian Dollar (AUD) has recently corrected from its high of 0.7208 but is now rebounding within a range of 0.7155 to 0.7180.

The analysts believe that the month-long AUD strength has ended, paving the way for a deeper pullback towards 0.7120.

However, they also note that the medium-term technical picture still favors a break above 0.7200, potentially leading to a year-to-date high near 0.7280.

Last Friday, AUD rose to 0.7208 before pulling back sharply to close at 0.7158 (-0.50%), while yesterday's decline was less than expected, reaching 0.7152 before rebounding to a high of 0.7171.