AUD/NZD chart on Trading View used for analysis
- AUD/NZD is extending weakness for the 2nd straight week, bias lower.
- The pair is trading at 1.0458 at 0700 GMT, down 0.30% at the time of writing.
- Price action has failed at daily cloud and is extending weakness.
- Technical studies also support downside. RSI is below 50 and bias lower. Stochs are sharply lower and MACD also supports weakness.
- Next major bear target lies at 23.6% Fib at 1.0424. Break below to see further weakness.
- On the flipside 21-EMA is strong resistance at 1.0537. Bearish invalidation only on break above daily cloud.
Support levels - 1.0424 (23.6% Fib), 1.0370 (June 2017 low), 1.0326 (Jan 2017 low)
Resistance levels - 1.0536 (21-EMA), 1.0567 (38.2% Fib), 1.0587 (Dec 2018 high)
Call update: Our previous call (https://www.econotimes.com/FxWirePro-AUD-NZD-slips-below-daily-cloud-good-to-stay-short-on-upticks-1487969) has hit TP1.
Recommendation: Book partial profits at lows, stay short for further downside.
For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
