- AUD / NZD remains under pressure near two week low, fails to maintain rebound at 1.0919.
- The MACD turns bearish for the first time in six weeks after breaking a one month support line.
- The 21-day EMA, an ascending trendline from July 13, is in the spotlight.
AUD / NZD falls to 1.0925 midway through the initial Asian trading session on Thursday. The pair scored the biggest losses of the week after breaking up trendline support, now resistance, the day before. The bearish bias also benefits from the support of the MACD histogram which left the bullish region after six weeks of stay.
As a result, sellers may target a 21-day EMA level of 1.0894 as near support ahead of the July uptrend line near 1.0880.
In a case where the bears refrain from respecting the 1.0880 support, the 05 Aug high around 1.0865 may offer an intermediate stop before highlighting the July peak near 1.0800.
Alternatively, the 10-day EMA and the support turned into a resistance line around 1.0940 and 1.0955 respectively, limit the pair’s immediate rise.
The 1.1000 psychological magnet that holds the gate for the bull run to challenge the monthly high near 1.1045 is also playing the role of key short-term resistance.
AUD / NZD Daily Chart
Trend: new weakness expected