NAB Research discusses AUD/USD technical outlook and sees a scope for short-term correction towards 0.7032/82 in the next 1-2 weeks.
"Friday produced a new 2020 high at 0.7243 before closing at 0.7157 and completing a bearish ST (daily) reversal pattern. Such a trigger implies that the uptrend has reached a point of ST exhaustion," NAB notes.
"Weekly and monthly momentum indicators continue to confirm a strong and sustainable MT/LT uptrend bias. Daily momentum indicators however have produced bearish failures at the recent highs and confirmed ST correction risk.
Risk is high for a ST correction in the coming 1-2 weeks and retest of MT support at 0.7032/82," NAB adds.