The AUD/NZD currency pair failed to surpass the resistance cluster formed by the weekly R1 and the monthly R1 at 1.0510. As a result, the pair made a sharp downside movement.
Currently, the exchange rate is trading near the lower boundary of an ascending channel pattern. Some downside potential could likely prevail in the market in the shorter term. In this situation, the Aussie could face the support cluster formed by the weekly S2 and the monthly S1 at 1.0337.
However, if the ascending channel pattern holds, a possible reversal could occur within the following trading sessions.
