AUDNZD Approaching Key Level
Priceaction in AUDNZD is looking interesting here. The pair has been trending higherwithin a broad bullish channel this year. Recently, the rally has stalled atthe 1.1166 resistance. However, following a shallow correction the market is nowheading back up towards the level and with the retail market more than 80%short, there is plenty of room for a break higher here. Bulls can look for a break of that level targeting 1.1286 initially.
RBA hawkishnesshas been a major contributing factor for recent AUD upside and, with the banksignalling further hikes to come, AUD looks set to remain well-supportedagainst NZD. The latest Aussie CPI data overnight was a little disappointingfor bulls but, nonetheless, the pair is still rallying today suggesting thatRBA views prior to the data have not shifted.
Keep AnEye On
AUDappears to be benefitting more from the USD pullback than NZD. With this in mindtoday’s FOMC outcome will be key to determining near-term AUDNZD price action.If USD is seen weaker on the back of the meeting, AUDNZD should have room torun higher. Alternatively. If USD rallies on the back of today’s FOMC, AUD willlikely be harder hit, sending the pair lower near-term.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.