AUD/NZD: moving in finally take out the July highs and weekly resistance?

AUD/NZD rallied in a continuation of the bullish recent reversal from 1.0586 lows on the back of Australian CPI data for Q3. Currently, AUD/NZD is trading at 1.0745, up 0.67% on the day, having posted a daily high at 1.0747 and low at 1.0642.

Australia's Q3 CPI beats expectations, RBA trimmed mean CPI unchanged

Main headlines of CPI

CPI headline q/q 0.7% vs  0.4% exp and 0.4% prior

CPI headline y/y 1.3% vs 1.1% exp and 1.0% prior

RBA trimmed mean 0.4% vs 0.4% exp and 0.5% last

RBA trimmed mean y/y 1.7% vs 1.7% exp and 1.7% last

Westpac's outlooks:

"AUD/NZD 1 day: Rising commodity prices and CPI, towards the 1.0765 area.  

AUD/NZD 1-3 month: Higher to 1.0750 or above, the RBA likely to remain on hold this year while the RBNZ should ease further. Moreover, the cross remains well below fair value estimates implied by interest rates, commodity prices and risk sentiment. (11 Oct)."

AUD/NZD levels

Spot is presently trading at 1.0745, and next resistance can be seen at 1.0745 (Monthly High), 1.0747 (Daily High), 1.0822 (Weekly Classic R2), 1.0892 (Weekly Classic R3) and 1.1298 (Annual High). Support below can be found at 1.0737 (Daily Classic R3), 1.0731 (Weekly Classic R1), 1.0719 (Daily 200 SMA), 1.0703 (Daily Classic R2) and 1.0703 (Yesterday's High).