AUD – Safe-haven demand rises, AUD struggles below 0.70

The Australian dollar consolidated within the 0.70 range against the U.S. dollar over the past week. Upside potential will initially be seen at the 0.72 level, with the 50-day moving average also warranting attention. Since mid-May, the pair has tested this level several times before rebounding, making the current 0.71 level technically significant. Support levels are seen at 0.6860 and the 250-day moving average at 0.6790, followed by the 0.67 level, a key support level tested multiple times earlier this year. Near-term resistance is seen at 0.6930 and 0.6970, with further resistance expected at 0.70 and 0.71, and the key level to watch is 0.72.

Forecast range:
Resistance: 0.6930 - 0.6970 – 0.7000 – 0.7080 - 0.7110 - 0.7200*
Support: 0.6860 - 0.6790 – 0.6700**

This Week's News Highlights:
2/7 Australia's May exports fell 6.9% month-on-month, while imports rose 2.6% month-on-month.
Australia's May trade balance showed a deficit of $3.018 billion.

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