untitled design

AUD/NZD falls to two-week lows near 1.0830, ahead of weekend Chinese CPI

  • The AUD/NZD pair sinks, breaking below the two-week range.
  • The AUD has lost the currency toss against the NZD as traders position themselves ahead of China’s inflation numbers.
  • With data set to drop over the weekend, Monday promises more action.

The pair USD/NZD is trading at two-week lows as the AUD falters against its close neighbor, the Kiwi (NZD). With both currencies exposed to the impact of data coming out of China, investors have placed the AUD as the bigger loser of the two.

China Consumer Price Index (CPI) numbers will fall over the weekend outside of market hours, and Markets could be positioning ahead, sending the Aussie out of the recent consolidation range in anticipation.

China CPI heading lower

China’s inflation numbers are expected to pick up slightly to 0.2% yoy from a previous contraction of -0.3%. The lack of price growth in the Chinese economy would be a continuation of the sign of economic weakness in the Asian region, and greater selling pressure could drive down the Australian dollar even further next week.

China data calendar; hours in GMT

AUD/NZD Technical Outlook

The AUD/NZD pair has entered two-week lows, touching 1.0820 heading into the end of the week. With the cross stuck in a consolidation range between 1.0740 and 1.0940 for the past few months, a breakout was almost inevitable, and 1.0760 to 1.0740 will be the short-term support range.

On the bullish side, a break to the upside with improving market sentiment will see AUD/NZD challenge the strong resistance at 1.0880 before it can advance further from there.

AUD/NZD 4-hour chart

Technical levels

USD/NZD

Overview
Latest price today 1.0829
Today Daily Change -0.0022
Today’s daily variation -0.20
Today’s daily opening 1.0851
Trends
daily SMA20 1.0845
daily SMA50 1.0823
SMA100 daily 1.0819
SMA200 daily 1.0806
Levels
Previous daily high 1.0876
Previous daily low 1.0839
Previous weekly high 1.0897
Previous weekly low 1.0833
Previous Monthly High 1.0897
Previous monthly low 1.0732
Daily Fibonacci 38.2 1.0853
Fibonacci 61.8% daily 1.0862
Daily Pivot Point S1 1.0835
Daily Pivot Point S2 1.0818
Daily Pivot Point S3 1.0798
Daily Pivot Point R1 1.0872
Daily Pivot Point R2 1.0892
Daily Pivot Point R3 1.0909

Source: Fx Street

You may also like

Get the latest

Stay Informed: Get the Latest Updates and Insights

 

Most popular