Citi with the forecasts, liking the Australian dollar, their their reasoning:
Near term outlook looks more positive
- combination of monetary and fiscal easing
- positive economic data
- helped risk assets recover
- we have revised up our 2020 year average GDP forecast to -3.2%
However the risks to AUD are fat tailed
- second wave risks
- health disappointment
- US election
- particular worry placed on the evolution of US/China relations
For AUDUSD, the 0.6977 - 0.7040 area is proving difficult to break on the upside while a close below 0.6924 would likely complete a bearish outside day suggesting a possible extension towards the trend line at 0.6858 followed by 0.6770
