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24 Apr 2013
Forex: AUD/NZD tumbles to daily low at 1.2117/24
FXstreet.com (Barcelona) - The AUD/NZD plummeted overnight and into the Wednesday session as news out of Australia and New Zealand dominated the headlines. Technically speaking, the pair is in lousy shape, having entrenched itself in negative territory and establishing session lows in these moments at 1.2117/24.
At this juncture the cross has settled a marginal -0.79% off its opening. According to the Mataf.net technical analyst team, following a drop below the 1.2136 support, the AUD/NZD will encounter its next supportive means at 1.2080, down to 1.2031. Conversely, the pair is slated to face short-term resistance at 1.2241, then 1.2290, and ultimately 1.2346.
“The contrasts between the RBAs clear easing bias and the RBNZs steady hand plus the sharp divergence in relative commodity prices suggests ongoing risks to 1.20-1.2100 multi-week.” writes Global FX Strategist Sean Callow at Westpac.
Overnight, the RBNZ decided to steady rates at 2.5%, matching expectations. Moreover, Australian economic data revealed less-than-expected CPI figures across the board.
At this juncture the cross has settled a marginal -0.79% off its opening. According to the Mataf.net technical analyst team, following a drop below the 1.2136 support, the AUD/NZD will encounter its next supportive means at 1.2080, down to 1.2031. Conversely, the pair is slated to face short-term resistance at 1.2241, then 1.2290, and ultimately 1.2346.
“The contrasts between the RBAs clear easing bias and the RBNZs steady hand plus the sharp divergence in relative commodity prices suggests ongoing risks to 1.20-1.2100 multi-week.” writes Global FX Strategist Sean Callow at Westpac.
Overnight, the RBNZ decided to steady rates at 2.5%, matching expectations. Moreover, Australian economic data revealed less-than-expected CPI figures across the board.