7 May 2015
AUD/NZD: Targeting 1.0790/00, 1.13 viable - Westpac
FXStreet (Bali) - David Coloretti, FX Technical Analyst at Westpac, is bullish on AUDNZD, noting that while ST target is 1.0790/00, 1.1300 is seen as a viable target on a 1-3 month outlook.
Key Quotes
"AUDNZD produced 1 major low in the 1990’s and 1 major low in the 2000’s. Each major low followed a minor low in the prior years that set up a material bounce from greatly oversold LT momentum levels, but not a true trend reversal."
"Major lows have had 2 key characteristics: - Monthly bullish engulfing candle patterns. - Significant monthly momentum failures / divergences.
The 2015 low holds both of these characteristics."
"While our ST target is 1.0790/00, we see 1.1300 as a viable target on a 1-3 month outlook with risk to further upside over time."
Key Quotes
"AUDNZD produced 1 major low in the 1990’s and 1 major low in the 2000’s. Each major low followed a minor low in the prior years that set up a material bounce from greatly oversold LT momentum levels, but not a true trend reversal."
"Major lows have had 2 key characteristics: - Monthly bullish engulfing candle patterns. - Significant monthly momentum failures / divergences.
The 2015 low holds both of these characteristics."
"While our ST target is 1.0790/00, we see 1.1300 as a viable target on a 1-3 month outlook with risk to further upside over time."