22 Jan 2014
AUD/NZD hovering around 1,0600
FXstreet.com (Córdoba) - After plunging to 1,0565 following CPI data from New Zealand yesterday, the AUD/NZD stabilized and since then it has been moving in range between 1.0560 and 1.0600. In a few minutes, Australian inflation data will be released.
Technical outlook for the AUD/NZD
The recovery from multi-year lows (1.0540) that started last Thursday, proved to be short-lived as the pair failed to break above 1.0700. Ahead of new economic data, the AUD/NZD is moving sideways in the mentioned small range.
On a wider view, the trend is bearish and according to Goncalo Moreira, FXStreet Technical Analyst, it could lead to an even lower AUD/NZD: “the cross remains below it's dynamic resistance on intraday charts, piercing the 2nd standard deviation band and keeping oscillators in relative oversold territory indicating exhaustion”.
Moreira notes that the near-term outlook for the pair hinged on New Zealand's CPI numbers, “the medium-term key event will be RBNZ's rate decision”.
Technical outlook for the AUD/NZD
The recovery from multi-year lows (1.0540) that started last Thursday, proved to be short-lived as the pair failed to break above 1.0700. Ahead of new economic data, the AUD/NZD is moving sideways in the mentioned small range.
On a wider view, the trend is bearish and according to Goncalo Moreira, FXStreet Technical Analyst, it could lead to an even lower AUD/NZD: “the cross remains below it's dynamic resistance on intraday charts, piercing the 2nd standard deviation band and keeping oscillators in relative oversold territory indicating exhaustion”.
Moreira notes that the near-term outlook for the pair hinged on New Zealand's CPI numbers, “the medium-term key event will be RBNZ's rate decision”.