The Australian Dollar (AUD) is expected to trade between 0.6485 and 0.6535. In the longer run, current price action is part of a rebound that could reach 0.6560, possibly 0.6600, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann note.

Current price action is part of a rebound

24-HOUR VIEW: “We expected AUD to ‘rise further to 0.6560’ yesterday. However, AUD pulled back sharply from a high of 0.6545 to 0.6485, before recovering to close at 0.6506 (-0.40%). The current price movements are likely part of a range trading phase. Today, we expect AUD to trade between 0.6485 and 0.6535.”

1-3 WEEKS VIEW: “Our update from yesterday (20 Nov, spot at 0.6530) remains valid. As highlighted, ‘the current price action is part of a rebound that could reach 0.6560, possibly 0.6600.’ We will maintain the same view as long as AUD remains above 0.6460 (no change in ‘strong support’ level).”