9 Aug 2013
AUD/NZD paring losses after recovery off lows
FXstreet.com (New York) - The AUD/NZD technical cross shook off an earlier bout of negativity Friday morning during Asian trading, now navigating the threshold between positive and negative territory.
AUD/NZD strategic bias
According to Tim Riddell, Head of Global Markets Research at ANZ, “The failure to hold 1.1800 triggered a deep slide through 1.1600 to test 1.1200-25 (a long-term deep retracement). This leaves the cross stretched and prone to rebounds, but it also remains within an extending downtrend. A relatively positive momentum profile has developed and this week’s sharp bounce suggests further consolidation within a 1.1250-1.1600 range.”
Technically speaking, the AUD/NZD is now operating at 1.1369, nearly shaking earlier negativity that had the pair trading at 1.1338 (session low). On the downside, supports will hold the AUD/NZD in check at 1.1359 (55-day MA), ahead of 1.1340 (200-day SMA), and 1.1332 (August 8 low).
AUD/NZD strategic bias
According to Tim Riddell, Head of Global Markets Research at ANZ, “The failure to hold 1.1800 triggered a deep slide through 1.1600 to test 1.1200-25 (a long-term deep retracement). This leaves the cross stretched and prone to rebounds, but it also remains within an extending downtrend. A relatively positive momentum profile has developed and this week’s sharp bounce suggests further consolidation within a 1.1250-1.1600 range.”
Technically speaking, the AUD/NZD is now operating at 1.1369, nearly shaking earlier negativity that had the pair trading at 1.1338 (session low). On the downside, supports will hold the AUD/NZD in check at 1.1359 (55-day MA), ahead of 1.1340 (200-day SMA), and 1.1332 (August 8 low).