FXStreet reports that Westpac said that the sharp break below the 0.7400 area signals further losses ahead.

“The RBA’s heavily caveated tightening announcement in July left the A$ yield outlook unattractive as the US economy validated the Fed’s hawkish shift, the RBNZ announced a sudden end to QE and the Bank of Canada continued tapering.” 

“Near-term risks are for fresh 2021 lows in the 0.72-0.73 region. But we see AUD/USD recovering to 0.75 by end-Sep, backed by a domestic economy that recovered from pandemic job losses well ahead of other countries and a historically strong external position: 41 consecutive monthly trade surpluses and a record 8 consecutive quarters of current account surpluses.”