- AUD/NZD down 0.22 percent on the day in the Asian session, and is firmly in bearish territory on the near term charts.
- Aussie dented against major peers on Australia retail sales miss. Australia’s Feb retail sales m/m fell to -0.1 % (forecast 0.3 %) vs previous 0.4 %.
- The pair failed to hold break above 20-DMA on Friday's trade.
- Upside on the day remains capped below 20-DMA and the pair has broken below 5-DMA.
- We see major support at 1.0845 (trendline), weakness likely to accentuate on break below.
- Break below 1.0845 could see drag till 1.0754 (38.2% Fib retrace of 1.0326 to 1.1018 rally).
- Bearish invalidation only on close above 20-DMA.
Support levels - 1.0845 (trendline), 1.0792 (Mar 27 lows), 1.0754 (38.2% Fib retrace of 1.0326 to 1.1018 rally), 1.0713 (50-DMA)
Resistance levels - 1.0890 (5-DMA), 1.0902 (20-DMA), 1.0966 (Mar31 high), 1.10 (trendline), 1.1018 (March 16 high)
TIME TREND INDEX OB/OS INDEX
1H Bearish Neutral
4H Bearish Neutral
1D Neutral Neutral
1W Neutral Neutral
Recommendation: Good to go short on break below 1.0845, SL: 1.09, TP: 1.08/ 1.0755/ 1.0715
FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at -66.412(Bearish), while Hourly NZD Spot Index was at 46.6913 (Neutral) at 0415 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
