AUD/USD, NZD/USD Await Correction- Aussie & Kiwi Dollar Price to USD
Aussie and Kiwi Dollar vs US Dollar Technical Analysis
AUD/USD, NZD/USD – Uptrend Move still intact
On Oct 31 AUD/USD rose to a multi-month high at 0.6929. Later, buyers tried to rally the price further however, they have not been successful in overtaking this level. Similarly, NZD/USD rallied at the start of this week to 0.6460 – its highest level in over two and half months.
Alongside this, the relative Strength Index (RSI) declined from 62 however, the oscillator has remained above 50 on both pairs signalling to a weak uptrend move.
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AUD/USD DAILY PRICE CHART (April 1, 2018 – Nov 6, 2019) Zoomed Out
AUD/USD DAILY PRICE CHART (July 1 – NOv 6, 2019) Zoomed IN
Looking at the daily chart, we notice yesterday, the pair declined to a lower trading zone 0.6826 – 0.6904. Hence, the price could drop for a test of the low end of the zone.
Further close below this level may see AUDUSD trading even lower towards the vicinity of 0.6753-44. Nevertheless, the daily and weekly support levels underscored on the chart should be considered.
On the other hand, a close above the high end of the zone could push AUDUSD towards 0.6984 contingent on clearing the area from 0.6929 up to 0.6938.
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NZD/USD DAILY PRICE CHART (July 1, 2017 – Nov 6, 2019) Zoomed Out
NZD/USD DAILY PRICE CHART (JULY 18 – Nov 6, 2019) Zoomed In
From the daily chart, we notice NZD/USD failed twice in shifting to a higher trading zone. Hence, the current uptrend has paused this week. This caused the price to point lower eyeing a test of low end of current trading zone 0.6236 – 0.6438. However, the pair should clear first the Oct 30 Low marked on the chart (zoomed in).
On the flip side, a close above the high end of the zone could cause NZDUSD to resume bullish price action towards the vicinity of 0.6555-65. Although, the weekly resistance level underlined on the chart needs to be cleared first.
See the chart to know more about key technical levels and zones in a further bullish/ bearish scenario.
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Written By: Mahmoud Alkudsi
Please feel free to contact me on Twitter: @Malkudsi
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.