AUDUSD and NZDUSD Bullish, Though Correcting Lower

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• When we last looked at AUDUSD and NZDUSD spot FX rates here on 14^th January we highlighted positive intermediate-term themes from early 2019 recoveries and intermediate-term bullish, technical shifts.
• Since then, both AUDUSD and NZDUSD currency pairs have been in corrective, consolidation mode, which leaves the very short-term threats skewed towards the downside.
• However, whilst AUDUSD holds above .7024 and NZDUSD is above .6626/12, we sustain intermediate-term bullish outlooks.

 

AUDUSD Downside bias intact

Another grind lower Wednesday through the .7114/07 support area, once more reinforcing the negative correction tone that has been developing since mid-January, keeping risks lower into Thursday.

The early January push above key .7149 set an intermediate-term bullish trend, BUT risk is growing for a shift to neutral below .7024.

For Today:                                                        

• We see a downside bias for .7100; break here aims for .7078 and maybe .7044.
• But above .7182 targets .7212, then maybe opens risk up to .7235 and .7247.

Intermediate-term Outlook – Upside Risks: We see an upside risk for .7247.

• Higher targets would be .7394 and .7500.
• What Changes This? Below .7024 shifts the outlook back to neutral; through .6916 is needed for a bear theme.

Resistance and Support:

.7182	.7212	.7235*	.7247*	.7276*
.7100	.7078	.7044**	.7024***	.7000*

4 Hour AUDUSD Chart

 

NZDUSD Holding onto a negative tone

An unexpected bounce Wednesday to push above .6787/90 resistance, but to stall at new .6807 resistance and whilst below here we hang onto negative pressures the selloff from mid-January through various supports, keeping risks lower into Thursday.

The strong early January rally through .6790 set an intermediate-term bull trend, BUT risk is growing for a shift to neutral below .6626/12.

For Today:

• We see a downside bias for .6747; break here aims for .6703 and maybe opens risk down towards 6669.
• But above .6807 aims for .6844/49, maybe .6858 and even closer to .6880/93.

Intermediate-term Outlook – Upside Risks: We see an upside risk for .6880.

• Higher targets would be .6969 and .7000.
• What Changes This? Below .6626/12 shifts the outlook straight to a bear theme.

Resistance and Support:

.6807	.6844/49*	.6858	.6880/93**	.6912*
.6747	.6703*	.6669**	.6626/12***	.6600

4 Hour NZDUSD Chart