According to United Overseas Bank (UOB) strategists Quek Ser Leang and Lee Sue Ann, the AUD/USD currency pair is expected to remain in a consolidation phase following a brief dip to 0.7111 and a close around 0.7130. The pair closed at 0.7129, marking a 0.45% decline for the session, but the drop did not result in a clear increase in downward momentum [1].
Intraday, the strategists anticipate the AUD/USD to trade within a range of 0.7110 to 0.7160. Over the next one to three weeks, they expect a slightly wider band of 0.7080 to 0.7180 to contain price action. Their longer-term bias remains tilted to the downside, but for now, range trading is expected to persist [1].
The analysts also referenced their previous outlook from April 20, which suggested a broader range of 0.7060 to 0.7210, but recent quiet trading has led them to narrow their expected range. No significant market-moving events or reactions were noted in the report, and the overall tone remains neutral with a focus on consolidation [1].
CONCLUSION
UOB strategists expect AUD/USD to continue trading within a defined range in the near term, with no clear directional momentum emerging. The market impact is assessed as low, with the pair likely to remain in consolidation barring new catalysts.