According to United Overseas Bank (UOB) analysts Quek Ser Leang and Lee Sue Ann, the Australian Dollar (AUD) experienced a dip to 0.7122 against the US Dollar (USD) before rebounding strongly to a high of 0.7176, with intraday price action settling in a 0.7140–0.7180 range [1]. The analysts note that downward momentum is fading, and a break above 0.7190 would confirm that the major support at 0.7120 is no longer at risk [1].
On a 1–3 month horizon, UOB projects that the AUD/USD pair is poised to clear the 0.7200 level, targeting the year-to-date high near 0.7280 [1]. The report highlights that the almost month-long AUD strength has ended, but after the recent pullback to 0.7122, the currency rebounded to close at 0.7170, marking a 0.34% increase [1].
For the immediate term, UOB expects the AUD to trade within a range of 0.7140 to 0.7180, with resistance at 0.7160 and a breach of 0.7170 indicating that downward pressure has eased [1]. The analysts emphasize that if the AUD breaks above 0.7190, it would signal that the 0.7120 support is out of reach and further upside is likely [1].
No specific market reactions or analyst opinions beyond UOB's technical outlook are discussed in the article [1].
CONCLUSION
The Australian Dollar has rebounded from recent lows, with UOB analysts indicating that downward momentum is easing and the currency is poised for further gains if it breaks above 0.7190. The short-term outlook suggests consolidation, while the medium-term view targets a move above 0.7200 toward the year-to-date high. Market sentiment appears cautiously optimistic based on the technical analysis provided.