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Technical outlook for AUD and NZD vs USD – UOB Group

FXStreet (Barcelona) - Analysts at UOB Group share the technical outlook for AUD/USD and NZD/USD, expecting the former to trade volatile between 0.7650-0.7930 and the latter to trade choppy in the 0.7200-0.7500 range.

Key Quotes

AUD/USD: We witnessed a spectacular performance by AUD yesterday as it plunged to a low of 0.7627 before rocketing to touch an overnight high of 0.7855.”

“We have been a steadfast AUD bear since 23/01/15 (Spot:0.8035) and our target at 0.7700 and 0.7640 has been met.”

“The 228 points daily range yesterday was clearly not the most common occurrence as the last time we seen a wider range than this was back in Jun 2013.”

“For the next couple of weeks, the outlook for AUD is neutral and we expect volatile trade between the key levels of 0.7650 and 0.7930.”

NZD/USD: NZD mimicked its antipodean cousin by dropping sharply to a low of 0.7177 before surging above the key short-term resistance at 0.7400 with an overnight high of 0.7438.”

“A temporary low is in place but the current movement is likely part of a broad sideway neutral range instead of the start of a bullish reversal.”

“Expect choppy trading for the next 1 to 2 weeks, likely between 0.7200 and 0.7500.”

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