AUD/NZD – 50-DMA hurdle intact despite weak NZ trade data

NZD came under pressure in early Asia following the dismal New Zealand trade data release, however, the selling pressure was not strong enough to push the AUD/NZD cross above 100-DMA level of 1.0543.

Falling trend line breached

Falling trend line coming from Apr 27 high and Aug 9 high has been breached on Friday. The currency pair opened slightly lower compared to Friday’s close of 1.0545, but quickly had a re look at the same after NZ reported a wider trade deficit.

The bullish tone remains intact given the pair is hovering around 1.0535 levels, although signs of exhaustion are evident following last week’s stellar rally.

AUD/NZD Technical Levels

Breach of the immediate hurdle of 1.0543 (100-DMA) could yield 1.0561 (June 15 high) and 1.06 (zero figure). On the lower side, 50-DMA of 1.05 could offer support under which support levels at 1.0453 (weekly pivot) and 1.04 (zero figure) could be put to test.