Analysts see limited further downside for the Australian dollar but expect a retest of recent lows near 0.7135.
The Australian dollar dropped to 0.7135 against the USD before recovering to 0.7161 on Monday, reflecting volatile trading conditions. Downside momentum remains slightly elevated, with potential for another test of the 0.7135 level in the near term.
Recent price action follows a sharp decline from earlier highs, though analysts note that support at 0.7100 is holding for now. The pair has struggled to sustain gains above 0.7200 in recent sessions, keeping traders cautious.
Market focus remains on broader USD strength and risk sentiment, with no immediate catalyst for a sustained AUD rebound.