AUD/USD has resumed its upward move, breaking above the 0.7175 and 0.7200 levels, while NZD/USD is also gaining strength and could target further upside beyond 0.5950.
Key Highlights for Today’s AUD/USD and NZD/USD Analysis
- The Australian dollar has moved higher, clearing the 0.7150 level against the US dollar.
- A descending trend line around 0.7190 has been breached on the hourly AUD/USD chart.
- NZD/USD is holding its gains above the 0.5925 pivot area.
- The pair has also broken above a bearish trend line near 0.5900 on the hourly chart.
AUD/USD Technical Outlook
On the hourly chart, AUD/USD began a fresh advance from the 0.7100 region, moving into positive territory against the US dollar. The breakout above the 0.7190 trend line reinforced bullish momentum, followed by a close above both 0.7200 and the 50-hour moving average. The pair later tested the 0.7245 level, where it is currently consolidating near recent highs.
On the downside, initial support is seen around 0.7220, which aligns with the 23.6% Fibonacci retracement of the move from 0.7135 to 0.7245. Further support lies near 0.7190, close to the 50% retracement level. A break below this area could lead to a pullback towards 0.7175 and the 50-hour moving average, with deeper losses potentially extending to 0.7135.
To the upside, resistance is forming near 0.7245, with a stronger barrier at 0.7260. A sustained move above 0.7260 could open the way towards 0.7320, while further gains may push the pair towards 0.7350.
NZD/USD Technical Outlook
NZD/USD has also turned higher, rallying from the 0.5855 level after breaking above resistance at 0.5875. The move gained traction following a breakout above the descending trend line near 0.5900, with the pair settling above both 0.5925 and the 50-hour moving average.
The pair recently tested 0.5945 and continues to show signs of upward momentum. The RSI is slightly above 70, indicating strong but potentially stretched conditions. Immediate resistance remains near 0.5945, followed by a key level at 0.6000. A decisive move above 0.6000 could drive gains towards 0.6050, with further upside possibly targeting the 0.6140 region.
On the downside, initial support is located at 0.5925, near the 23.6% Fibonacci retracement of the move from 0.5856 to 0.5945. A more significant support zone lies around 0.5900, followed by 0.5875 and the 50-hour moving average. A break below 0.5875 could see the pair decline towards 0.5855, with further weakness potentially extending to 0.5820.
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