FxWirePro: AUD/NZD surpasses recent bullish focal points, likely Marubozu keeps us targeting 1.1017

Aussie dollar after long lasting losing streak that has begun from July, it is now making an attempt of recovery a bit as both technical and fundamental indicators are signaling buying sentiments.

On daily chart, despite forming a shooting star pattern on rallies, bulls have been disregarding and managed to breach the crucial resistance at 1.0928 levels (see blue colored circled areas in which demand is seen more than supply). But this would be viewed whether it sustains on a closing basis or not in order to set up next targets at 1.1017.

The spot FX at this juncture trading at 1.0969, if it manages these levels on a closing basis then we reckon that this pair would certainly approach 1.1017 which is next resistance.

The leading oscillator RSI evidences the positive convergence with the every price bounces, (currently, RSI trending at 62.9002).

While, no there is no trace of selling indications even if stochastic curve reaches above 80 levels which is overbought zone. %K crossover even above 80s would mean that bulls seem to be in total control over rallies in order to bounce above current levels.

More importantly, daily prices have spiked above 10DMA and a formation of "Marubozu" pattern candle on monthly chart after long lasting down streaks right from July is most likely ahead of remaining 1 week of trade and it shows a sort of strength. If the current price bounces continue to hold then this bullish pattern is certain.

These two indications can help us understand the prevailing upswings may drag for some more time in medium term trend.