NAB discusses AUD/USD technical outlook and shifts into a neutral bias expecting a choppy range in the near-term.
"AUD/USD produced a bearish weekly reversal pattern last week after challenging our one-month topside target and one-year downtrend channel resistance around 0.7300.
A prominent conflict now exists on the chart whereby the recent bearish MT price triggers are at odds with bullish MT/LT momentum triggers and the failed multi-year range low breakout," NAB notes.
"In such an environment we must anticipate a choppy range. We note that weekly Bollinger bands are moving sideways and will likely dictate the multi-week range within their 0.6980/90 to 0.7330/40 boundaries," NAB adds.