The current price movements appear to be part of a 0.6535/0.6565 range-trading phase. In the longer run, AUD is likely to trade in a range between 0.6505 and 0.6610, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

AUD is likely to trade in a range

24-HOUR VIEW: "Following the sharp drop in AUD last Thursday that reached a low of 0.6533, we highlighted on Friday that 'there is scope for AUD to test 0.6530 before a recovery can be expected'. We added, 'we do not expect the major support at 0.6505 to come under threat'. However, AUD did not quite test 0.6530, as it dipped to a low of 0.6534 before settling at 0.6547 (-0.11%). The current price movements appear to be part of a range-trading phase. Today, we expect AUD to trade in a range of 0.6535/0.6565."

1-3 WEEKS VIEW: "We revised our view from positive to neutral last Friday (31 Oct, spot at 0.6555). We indicated that the recent 'upward momentum has faded', and we expected AUD to 'trade in a range between 0.6505 and 0.6610.' There is no change in our view."