Analysts see potential for the Australian Dollar to test 0.7100 if it holds above key support levels near 0.7025.
The Australian Dollar briefly rose to 0.7091 against the US Dollar before settling at 0.7063, nearly unchanged. UOB analysts expect intraday trading between 0.7050 and 0.7085 but maintain a bullish bias over the next 1-3 weeks if the pair stays above 0.7025.
The bank previously noted upside risks for AUD/USD, with a break above 0.7075 potentially driving the pair toward 0.7100. While upward momentum has slowed, a drop below 0.7025 would be required to shift the outlook.
Recent price action saw AUD test resistance levels but fail to sustain gains, reflecting cautious market sentiment ahead of further moves.