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AUD/USD saw a mild correction overnight, which however managed to hold above the uptrend from late September at 0.7152. Despite the current modest correction, analysts at Credit Suisse look for an eventual resumption of the core bull trend with resistance seen at 0.7235/43.

Key quotes

“The correction in AUD/USD on Tuesday managed to hold above the uptrend from late September, currently at 0.7152, keeping the market in a rangebound environment. With daily MACD momentum also still pointing higher, we keep our bias for an eventual resumption of the core bull trend.” 

“Resistance moves initially to 0.7174, then 0.7218 and 0.7235/43, above which would see 0.7254 next. Removal of here would subsequently see a move back up to 0.7324 – the beginning of a key price resistance area, which stretches up to 0.7345 – where we would expect to see fresh sellers at first. Beyond here though should see a renewed test of the current year high at 0.7414 and eventually beyond over the medium-term.” 

“Support is seen initially at 0.7152/47, beneath which can see a fall to the recent October low at 0.7100/7096, where we expect to see a first attempt to hold. Beyond here could open the door to an eventual fall back to 0.7006/00.”