The AUD/NZD exchange rate has been trading upwards since the beginning of August when it reversed north from the psychological level at 1.0350. As apparent on the chart, the rate has already tested the 1.0700 level.
Note that the currency pair is supported by the 55-, 100– and 200-hour moving averages, currently located in the 1.0621/1.06664 range. Thus, it is likely that some upside potential could prevail in the market. In this case, the pair could reach the upper boundary of the long-term descending channel in the 1.0750/1.090 range.
However, note that the rate has to surpass the resistance level formed by the weekly R1 at 1.0742. If the given level holds, a reversal south could occur.
