- English
.jpg?height=93&quality=30)
AUDNZD is looking like a good range trade between the bounds of 1. 05 and 1.04. The 1. 05 area is also where the 21-day EMA is sitting providing further resistance to price rallies. Negative divergence has appeared on the RSI which would have stemmed selling pressure around 1.04. The head and shoulders pattern predicts a move to 1.0250. To get here we’d have to take out the 1.03 horizontal support first. Both countries are in lockdown, Australia mid-cycle and NZ early-cycle. If one nation manages the growth of covid better than the other we could see a more sustained directional move. If price breaches the upside range resistance then 1.054/5 comes into play. On the downside, a breach through range support at 1.04 would open up 1.03.
Related articles
Ready to trade?
It's quick and easy to get started. Apply in minutes with our simple application process.
The material provided here has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Whilst it is not subject to any prohibition on dealing ahead of the dissemination of investment research we will not seek to take any advantage before providing it to our clients.
Pepperstone doesn’t represent that the material provided here is accurate, current or complete, and therefore shouldn’t be relied upon as such. The information, whether from a third party or not, isn’t to be considered as a recommendation; or an offer to buy or sell; or the solicitation of an offer to buy or sell any security, financial product or instrument; or to participate in any particular trading strategy. It does not take into account readers’ financial situation or investment objectives. We advise any readers of this content to seek their own advice. Without the approval of Pepperstone, reproduction or redistribution of this information isn’t permitted.