According to FX Strategists at UOB Group, AUD/USD’s upside could extend to the 0.7555 level in the next weeks.

Key Quotes

24-hour view: “Last Friday, we held the view that AUD ‘could edge higher but is unlikely to threaten the major resistance at 0.7555’. Our view was not wrong as AUD rose to 0.7537 before easing off to trade sideways for the rest of the sessions. Momentum indicators are turning neutral and further sideway-trading appears likely. Expected range for today, 0.7485/0.7535.”

Next 1-3 weeks: “Our update from last Thursday (24 Mar, spot at 0.7490) still stands. As highlighted, further AUD strength is not ruled out but the chance for a rise to the next resistance at 0.7555 is not very high. On the downside, a breach of 0.7440 (no change in ‘strong support’ level from last Friday) would indicate that the AUD strength that started about a week ago has run its course.”