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NZDUSD and AUDUSD Bull Trends Reinforced for Latter January

nzdusd chart

  • We continue to see an extension of the wide US$ weakness evident from the rate hike in December 2017, with early 2018 losses for the US currency against other major currencies extending through mid-January.
  • The NZDUSD currency rate has extended from the basing pattern from December 2017, to climb above notable resistance in the .7211/18 area in January, sustaining an upside bias for latter January and likely into February.
  • The AUDUSD forex rate push up through .7730 in December 2017 created a strong bottoming formation and bull trend, enhanced in January 2018 above the .7897/97 area and also recently psychological/option barrier at .8000, for an intermediate-term bullish view into latter January 2018 and likely on into February.

 

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NZDUSD Bull bias

A slightly negative consolidation Friday back from the new recovery high Thursday, but whilst above initial .7245 support, we see upside pressures from the early January push above the key .7211/18 area, keeping the risks higher Monday.

The mid-December push above .6980 produced an intermediate-term shift to a bullish theme, reinforced by the extension rally into early 2018.

For Today:

  • We see an upside bias for .7296 and .7331; through here aims towards .7362/64.
  • But below .7245 quickly targets .7231 and maybe aims at .7217 (which we would look to try to hold).

Intermediate-term Outlook – Upside Risks:

  • We see a positive tone with the bullish threat to targets .7434 and .7558.
  • What Changes This? Below .7069 signals a neutral tone, quickly shifting bearish below .6951.

Resistance and Support:

.7296 .7331 .7362/64* .7400 .7434***
.7245 .7231 .7217* .7178 .7140/38**

4 Hour NZDUSD Chart

nzdusd chart

 

AUDUSD Bull trend extension

Again, and as expected yet another firm advance Friday to just nudge at our next resistance target at.8036, reinforcing Thursday’s push up through the .8000/06 resistance area having rebounded from the .7935/34 support area, and despite an intraday set for a possible Shooting Star candlestick, whilst above .7961 we see risks higher again Monday.

The December break above the .7730 level shifted the intermediate-term view to bullish.

For Today:

  • We see an upside bias for .8005 and the .8039 new peak; above here aims towards .8073
  • But below .7961 targets .7935/34 and opens risk down to .7898.

Intermediate-term Outlook – Upside Risks:

  • We see a positive tone with the bullish threat to targets .8000/06 and .8125.
  • What Changes This? Below .7805 signals a neutral tone, only shifting bearish below .7635.

Resistance and Support:

.8005 .8039* .8072 .8103** .8125***
.7961 .7935/34 .7898* .7874 .7845**

4 Hour AUDUSD Chart

audusd chart

 

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