We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Bitcoin
Bullish
More View more
Real Time News
  • If you are having issues registering please use this link https://t.co/zoSs3B7B5v https://t.co/TCjMTjgEMY
  • Forex Update: As of 08:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.05% 🇨🇭CHF: -0.07% 🇦🇺AUD: -0.07% 🇬🇧GBP: -0.14% 🇪🇺EUR: -0.18% 🇳🇿NZD: -0.24% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/xUMn8vvpgZ
  • Indices Update: As of 08:00, these are your best and worst performers based on the London trading schedule: US 500: 0.27% Wall Street: 0.25% Germany 30: 0.12% France 40: -0.08% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/mnrfMHFz1q
  • SA40 Cash Index - Bullish engulfing at support (incomplete until today's close), with oversold signal. After being stopped out last call, less trust in long bias. Would prefer gap to be closed before looking for longs again. Failure to close gap could be new short signal. #Alsi https://t.co/Js3tQcAxKQ
  • EUR/USD Technical Analysis: Euro May Bounce But Trend Points Down - https://www.dailyfx.com/forex/technical/home/analysis/eur-usd/2020/01/29/EURUSD-Technical-Analysis-Euro-May-Bounce-But-Trend-Points-Down.htmlhttps://www.dailyfx.com/forex/technical/home/analysis/eur-usd/2020/01/29/EURUSD-Technical-Analysis-Euro-May-Bounce-But-Trend-Points-Down.html #EURUSD #technicalanalysis https://t.co/r3ElKOSTaQ
  • RT @IGSouthAfrica: Still time to register for today's webinar 'Trading with chart patterns' at 12pm with @ShaunMurison_IG https://t.co/R7Xm…
  • The $NZD may be on average at risk to further losses against its major counterparts such as the US Dollar and Japanese Yen. Where to for NZD/USD and NZD/JPY from here? Get your market update from @ddubrovskyFX here:https://t.co/OFjePKYdCb https://t.co/n8ES92LBDu
  • 🇬🇧 GBP Nationwide House Px n.s.a. (YoY) (JAN), Actual: 1.9% Expected: 1.5% Previous: 1.4% https://www.dailyfx.com/economic-calendar#2020-01-29
  • EUR Germany Dec import price index MM Actual: 0.2% Forecast: 0.2% Previous: 0.5% YY Actual: -0.7% Forecast: -0.7% Previous: -2.1%
  • 🇪🇺 EUR German GfK Consumer Confidence (FEB), Actual: 9.9 Expected: 9.6 Previous: 9.6 https://www.dailyfx.com/economic-calendar#2020-01-29
Australian Dollar Forecast Bearish as AUD/NZD Eyes August Lows

Australian Dollar Forecast Bearish as AUD/NZD Eyes August Lows

2019-11-22 03:00:00
Dimitri Zabelin, Junior Currency Analyst
Share:

Australian Dollar, New Zealand Dollar, AUD/NZD – TALKING POINTS

  • AUD/NZD downside breakout below support with confirmation inviting rapid selloff?
  • Pair’s descent comes after it suffered its biggest one-day decline since February 2017
  • AUD/NZD now eyeing August lows at 1.0542. Bearish bias for the long-term outlook

Learn how to use politicalrisk analysis in your trading strategy!

The Australian Dollar continues to fall against its New Zealand counterpart as AUD/NZD confirms a downside breakout below 1.0607 that has been met with confirmation. The second consecutive daily close below the floor could precede a selloff in AUD/NZD until the pair hits support not reached since August at 1.0542.

AUD/NZD – Daily Chart

Chart showing AUD/NZD

AUD/NZD chart created using TradingView

AUD/NZD’s rapid decline appeared to have been catalyzed by two factors. The first was the pair’s failure to break above the August 2015 descending resistance channel which will be shown in the paragraph below. The second was AUD/NZD’s biggest one-day decline since February 2015 that saw the pair close over 1.30 percent lower and below support at 1.0665. From there, selling pressure ensued and dragged the pair further down.

Zooming out to a weekly chart shows that the pair’s massive decline earlier this month catalyzed a downside break below August 2019 uptrend. However, the pair’s descent could encounter some friction around 1.0542. A break below this level could mark a tectonic shift in the pair’s trajectory, or rather reinforce the notion that the longer-term outlook for AUD/NZD is considerably more bearish.

AUD/NZD – Weekly Chart

Chart showing AUD/NZD

AUD/NZD chart created using TradingView

AUSTRALIAN DOLLAR TRADING RESOURCES

--- Written by Dimitri Zabelin, Jr Currency Analyst for DailyFX.com

To contact Dimitri, use the comments section below or @ZabelinDimitrion Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.