Chart - Courtesy Trading View
AUD/NZD breaks below 200-DMA, is extending weakness for the sixth straight session.
The pair has formed a Doji on the daily candle at the time of writing, headlines from China appeared to have recently favored the market’s sentiment.
The People’s Bank of China (PBOC) Governor, Yi Gang, recently crossed wires said that China's economy remains broadly on track.
Policymakers said that they expect the housing market can achieve a soft landing and added that the property sector is now "stable".
Technical indicators are biased lower. Stochs and RSI are sharply lower, volatility is high and rising.
Price action is below major moving averages which are trending lower. GMMA indicator shows major and minor trend are bearish.
Support levels:
S1: 1.0896 (Lower BB)
S2: 1.0823 (110-week EMA)
Resistance levels:
R1: 1.0943 (55-week EMA)
R2: 1.0998 (200-DMA)
Summary: AUD/NZD downside reinforced after breach below 200-DMA support. Bearish momentum likely to drag the pair lower. Next major support at 1.0823 in sight.
