
The New Zealand and Australian Dollars has both suffered notable erosion versus the US Dollar over the past week (since mid-July) to question the intermediate-term bull trends.
However, whilst NZDUSD hold above .6960 and AUDUSD hold above .7403 , the technical bias is still to the upside through latter July and into August.
However, surrender of theses supports, would see an intermediate-term shift to broader, neutral, range trading environments.
NZDUSD
Again a negative tone Wednesday, to reject the Tuesday intraday bounce effort and again to reinforce the Friday push below .7176 and .7132 supports, to keep a downside threat Thursday.
However, the mid-July new cycle high posted above .7298 leaves the intermediate-term outlook for latter July still bullish (whilst above .6960).
For Thursday:
- We see a downside bias for .7006; break here aims for .7077/70 and key .6960! Break targets .6945/25 area.
- But above .7068 opens risk up to .7123/25, maybe .7154.
Short/ Intermediate-term Outlook – Upside Risks: A previous shift to an intermediate-term bullish tone above .7054.
- We see a positive tone with the bullish threat to 7298.
- Above here targets .7396/7413 and .7564.
What Changes This? Below .6960 signals a neutral tone, only shifting negative below .6676.7396/7413
Daily NZDUSD Chart
AUDUSD
Another push lower Wednesday, below 7472 and .7467/66 to reinforce the Tuesday surrender of .7556 and .7518/10 supports and bearish outside Friday pattern, to leave further downside risk Thursday.
For Thursday:
- We see a downside bias for .7458; break here aims for key .7403.
- But above .7517 opens risk up to .7606.
Short/ Intermediate-term Outlook – Upside Risks: The new recovery high in mid-July signalled an intermediate-term bullish shift above .7648.
- We see a positive tone with the bullish threat to .7676 and .7719.
- Above here targets .7835/49/78 and .8000.
What Changes This? Below .7403 signals a neutral tone, only shifting negative below .7284.
Daily AUDUSD Chart
Forextraders' Broker of the Month
ForexTime (FXTM) is an award-winning platform that certainly has the feeling of being set up by people who know what they are doing. The firm demonstrates an understanding of what helps traders make better returns, and its success can be measured by the fact that it's doubled the number of clients it supports in recent years. The fact that the broker has grown to have more than two million accounts suggests it is getting things right for clients.