- AUD/NZD extends choppy trade at 20-DMA, struggles to close above.
- The pair is trading 0.12% higher on the day, hit session lows at 1.0573 and high of 1.0595.
- Price action is holding above major EMAs on hourly charts. Technical indicators are biased higher.
- RSI and Stochs have rolled over from oversold levels and MACD is showing a bullish crossover on signal line.
- The pair finds strong trendline support at 1.0495, break below will see bearishness.
- Decisive breakout above 20-DMA could see further upside. Scope then for test of 55-EMA at 1.0685 ahead of 61.8% Fib at 1.0721.
- NZ GDT price index and Consumer Price Index (CPI) for the March quarter, due this Thursday will be in focus for further impetus.
Support levels - 1.0579 (20-DMA), 1.0560 (5-DMA), 1.0495 (major trendline), 1.0475 (88.6% Fib)
Resistance levels - 1.0593 (21-EMA), 1.06, 1.6085 (55-EMA), 1.0721 (61.8% Fib)
Recommendation: Good to go long on decisive break above 20-DMA, SL: 1.0540, TP: 1.0680/ 1.07/ 1.0720
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