The Australian Dollar (AUD) is anticipated to trade within a narrow range of 0.6630 to 0.6685. While there is potential for the AUD to edge higher, the chances of it breaking clearly above the major resistance zone of 0.6705/0.6715 remain low at present.
24-Hour View:
“Last Friday, we expected the AUD to trade within a 0.6625/0.6675 range. Contrary to our expectations, the AUD dipped to a low of 0.6620 before rising sharply to reach a high of 0.6685. It closed firmly at 0.6670 (+0.34%). This sharp rise seems overextended, suggesting the AUD is unlikely to advance much further. Today, it is more likely to trade sideways between 0.6630 and 0.6685.”
1-3 Weeks View:
“In our latest analysis from last Monday (June 24, spot at 0.6640), we indicated that ‘the current price action is likely part of a range-trading phase,’ and projected the AUD to trade between 0.6600 and 0.6685. The AUD adhered to this range until last Friday, when it touched 0.6685. There has been a slight increase in upward momentum, but it is insufficient to suggest the start of a sustained advance. Moving forward, as long as the AUD remains above 0.6610, it is likely to edge higher. However, the likelihood of it breaking clearly above the major resistance zone of 0.6705/0.6715 remains low for now.”
Key Points:
Current Range: 0.6630 to 0.6685
Major Resistance Zone: 0.6705/0.6715
24-Hour View: Likely to trade sideways
1-3 Weeks View: Potential for slight upward movement, but unlikely to surpass the major resistance zone
The AUD’s movement will be closely monitored for any signs of increased momentum that could indicate a shift in this range-bound trading phase.
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