- AUD/NZD is on track to test 200-DMA at 1.06, bias remains higher, we recommend staying long in the pair.
- Technical indicators are biased higher, RSI and Stochs point north and MACD is showing a bullish crossover.
- The pair failed to close above 20-DMA on Thursday's trade and upside is currently struggling at 23.6% Fib of 1.1019 to 1.0391 fall.
- However, upbeat Australia's jobs data keeps support for the Aussie. Break above 23.6% Fib eyes 200-DMA at 1.06.
- We see scope for further upside, close above 20-DMA will confirm bullishness.
- Major trendline support seen at 1.040 levels, we see weakness only on break below.
Support levels - 1.0513 (20-DMA), 1.05, 1.0478 (5-DMA), 1.040 (trendline)
Resistance levels - 0.0540 (23.6% Fib of 1.1019 to 1.0391 fall), 1.0603 (200-DMA), 1.0631 (38.2% Fib)
Recommendation: Good to go long on close above 20-DMA 1.0513, SL: 1.0460, TP: 1.06/ 1.0630/ 1.07
FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 117.441 (Bullish), while Hourly NZD Spot Index was at 32.881 (Neutral) at 0345 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex
