Market Analysis: AUD/USD and NZD/USD Recover - More Gains Ahead?
AUD/USD is attempting a recovery wave from 0.6440. NZD/USD is also correcting losses and might recover if there is a clear move above the 0.5950 resistance.
Important Takeaways for AUD/USD and NZD/USD Analysis Today
· The Aussie Dollar found support near 0.6440 and is now recovering against the US Dollar.
· There was a break above a key bearish trend line with resistance at 0.6480 on the hourly chart of AUD/USD at FXOpen.
· NZD/USD is attempting a recovery wave above the 0.5880 resistance.
· There was a break above a major bearish trend line with resistance near 0.5860 on the hourly chart of NZD/USD at FXOpen.
AUD/USD Technical Analysis
On the hourly chart of AUD/USD at FXOpen, the pair dipped from the 0.6685 resistance zone. The Aussie Dollar declined below 0.6500, but the bulls were active near 0.6440 against the US Dollar.
A low was formed near 0.6439 and the pair is now correcting losses. There was a move above the 23.6% Fib retracement level of the downward wave from the 0.6685 swing high to the 0.6439 low. There was also a break above a key bearish trend line with resistance at 0.6480.
The pair is now above 0.6500 and the 50-hour simple moving average. On the upside, immediate resistance is near the 50% Fib retracement level of the downward wave from the 0.6685 swing high to the 0.6439 low at 0.6560.
The first major resistance is near 0.6630. A clear upside break above 0.6630 could send the pair toward 0.6685. The next major resistance on the AUD/USD chart is near 0.6720, above which the price could rise toward 0.6750. Any more gains might send the pair toward 0.6800.
On the downside, initial support is near 0.6500 or the 50-hour simple moving average. The next support could be the 0.6480 zone. Any more losses might send the pair toward the 0.6440 support.
NZD/USD Technical Analysis
On the hourly chart of NZD/USD on FXOpen, the pair also followed a similar pattern and declined from the 0.6040 zone. The New Zealand Dollar gained bearish momentum and traded below 0.5950 against the US Dollar.
The pair even dropped below the 50-hour simple moving average and tested 0.5835. A low was formed near 0.5836 and the pair is now attempting a fresh increase. It is back above the 0.5880 level and the 50-hour simple moving average.
Besides, there was a break above a major bearish trend line with resistance near 0.5860. The pair surpassed the 23.6% Fib retracement level of the downward wave from the 0.6037 swing high to the 0.5836 low.
On the upside, the pair is facing resistance near the 0.5920 level. The next major resistance is near the 61.8% Fib retracement level of the downward wave from the 0.6037 swing high to the 0.5836 low at 0.5960.
If there is a move above 0.5960, the pair could rise toward the 0.5985 resistance. Any more gains might open the doors for a move toward the 0.6040 resistance zone.
On the downside, immediate support on the NZD/USD chart is near 0.5880. The next major support is near the 0.5835 zone. If there is a downside break below 0.5835, the pair could extend the decline toward the 0.5800 level. The next key support is near 0.5765.
Read more: https://fxopen.com/blog/en/aj-market-analysis-aud-usd-and-nzd-usd-recover-more-gains-ahead/
Text source: Forex Trading Blog
