fbpx

NZDUSD and AUDUSD Bear Trends Accelerating Through Supports

nzdusd

  • On 8th May we reviewed the NZDUSD and AUDUSD currency pairs and focussed on the intact intermediate-term bear themes.
  • There remain ongoing fears that the US-Sino trade talks are under severe pressures after retaliatory tariffs imposed by China after the US raised tariffs earlier in May.
  • These Trade War fears leave “pro-risk” currencies like the New Zealand and Australian Dollars vulnerable to further losses.
  • Both the NZDUSD and AUDUSD Forex rates continue to push through notable support levels from 2019 and 2018, extending their short- and intermediate-term bear trends.

 

NZDUSD bear trend fully restarts

A plunge lower Friday having been capped late last week during consolidation by initial .6591 resistance and the down trend line from March, full resuming negative pressures from the earlier May plunge down to .6524 after the RBNZ rate cut with a push below this level, leaving the bias lower Monday.

The April push below .6716 set an intermediate-term bear theme.

For Today:

  • We see a downside bias for .6510 and .6500; break here aims for .6471, maybe .6437.
  • But above .6547 aims for .6591 and maybe targets .6630.

Intermediate-term Outlook – Downside Risks: We see a downside risk for .6347 and .6195

  • What Changes This? Above .6682 shifts the outlook back to neutral; above .6783 is needed for a bull theme.

Resistance and Support:

.6547 .6591 .6630* .6653** .6679/82**
.6512 .6500** .6471 .6437 .6402

4 Hour NZDUSD Chart

nzdusd

AUDUSD bear trend extends, again

Again, yet another accelerated push to the downside Friday through .6891 and .6870/67 supports, further reinforcing the selloff from early May down from .7048 through numerous supports, to keep risks lower for Monday.

The early February push .7073 set an intermediate-term bear trend.

For Today:                                                        

  • We see a downside bias for .6862; break here aims for a key level at .6829, possibly even towards .6800 and .6777
  • But above .6897 targets .6937 and maybe aims for .6959.

Intermediate-term Outlook – Downside Risks: We see a downside risk for .6916.

  • Lower targets would be .6829 and .6738
  • What Changes This? Above .7069 shifts the outlook back to neutral; above .7206 is needed for a bull theme.

Resistance and Support:

.6897 .6937 .6959* .6986 .7027*
.6862 .6829** .6800 .6777 .6738***

4 Hour Chart

audusd

Risk Statement: Trading Foreign Exchange on margin carries a high level of risk and may not be suitable for all investors. The possibility exists that you could lose more than your initial deposit. The high degree of leverage can work against you as well as for you.


Popular Brokers