AUD/USD traded higher recently and broke the 0.7180 and 0.7220 resistance levels. Similarly, NZD/USD gained bullish momentum and rallied above the 0.6880 resistance.
Important Takeaways for AUD/USD and NZD/USD
- The Aussie Dollar gained traction and moved above the 0.7200 resistance against the US Dollar.
- There is a major bullish trend line in place with support at 0.7220 on the hourly chart of AUD/USD.
- NZD/USD broke many hurdles and surged above the 0.6900 resistance level.
- There is a key connecting bullish trend line formed with support at 0.6875 on the hourly chart.
AUD/USD Technical Analysis
After trading towards the 0.7080 support, the Aussie Dollar found a strong buying interest against the US Dollar. The AUD/USD pair started a solid upward move and traded above the 0.7150 and 0.7200 resistance levels.
Buyers even pushed the pair above the 0.7250 resistance and the 50 hourly simple moving average. A high was formed at 0.7295 on FXOpen and later the pair started a downside correction. It traded below the 0.7260 support and the 38.2% Fib retracement level of the recent wave from the 0.7180 low to 0.7295 high.
However, there are many supports on the downside near the 0.7220 level. An initial support is the 50% Fib retracement level of the recent wave from the 0.7180 low to 0.7295 high.
Moreover, the 50 hourly simple moving average is near the 0.7235 level. Finally, there is a major bullish trend line in place with support at 0.7220 on the hourly chart of AUD/USD. Therefore, if there is a downside correction, the pair is likely to find a strong buying interest near the 0.7230 and 0.7220 levels.
On the upside, an initial resistance is near the 0.7265 level, above which the pair could retest the 0.7295 swing high. Above 0.7295, the pair is likely to gain momentum above the 0.7300 and 0.7320 resistance levels in the near term.
NZD/USD Technical Analysis
The New Zealand Dollar also followed a similar structure and started a solid upward move from the 0.6750 support against the US Dollar. The NZD/USD pair broke the 0.6800 and 0.6850 resistance levels to move into a bullish zone.
During the rise, the pair also broke the 0.6880 resistance and the 50 hourly simple moving average. Finally, the pair climbed above the 0.6900 and 0.6920 levels before sellers appeared near the 0.6935 level.
A high was formed at 0.6938 and later the pair corrected lower. It broke a connecting bullish trend line a 0.6915 on the hourly chart and the 23.6% Fib retracement level of the recent wave from the 0.6822 low to 0.6938 high.
However, there are many supports on the downside near the 0.6890 and 0.6880 levels. The 50% Fib retracement level of the recent wave from the 0.6822 low to 0.6938 high is near the 0.6880 to act as a solid support along with the 50 hourly simple moving average.
Finally, there is a key connecting bullish trend line formed with support at 0.6875 on the hourly chart. Therefore, if NZD/USD corrects lower in the short term, it is likely to find a strong buying interest near the 0.6890 and 0.6880 levels.
