AUD/NZD: Bulls back in control, re-takes 1.0850 on Aus jobs

Australia’s stronger-than expected full time employment figures combined with better business confidence data offered the much-needed impetus to the AUD bulls, sparking a fresh rebound in AUD/NZD in a bid to regain 1.0850 barrier.

Australian June employment report: Solid reading, full time jobs soar

The cross brought an end to its consolidative-mode at higher levels and broke further to the upside, following the release of solid Aus jobs report, with the prices now printing fresh two-month tops at 1.0840 levels.

However, it remains to be seen whether the AUD/NZD pair manages extend the upside above the mid-point of 1.08 handle, as the Kiwi remains better bid amid broad based US dollar softness and overnight rally in oil prices, which keeps the sentiment around the resource-lined NZD underpinned.

Technical Levels

On the lower side, breach of support at 1.0790 (daily pivot) could yield a pullback to 1.0743 (5-DMA) and to 1.0700 (zero figure). A break above 1.0877 (classic R2/ Fib R3) would expose 1.0900 (zero figure) and 1.0916 (May 2 low).