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AUD/NZD popping higher on Fornterra

FXStreet (Guatemala) - AUD/NZD is trading at 1.0971, down -0.04% on the day, having posted a daily high at 1.0986 and low at 1.0973.

AUD/NZD has popped up in the region of 20 pips when due to further volatility in the industry, Fonterra has this morning announced it has revised the forecast farmgate milk price for 2014/15 to $5.30 a kg of milk solids from the last forecast at $6.00 a kg They have also increased the dividend forecast to 25c to 35c from 20c to 25c. Previous wholesale market pricing estimates were pointed to a farmgate milk price for the current year of around the mid to low-$5 mark.

AUD/NZD near term levels

With spot trading at 1.0974, we can see next resistance ahead at 1.0994 (Hourly 100 SMA) and 1.1020 (Daily Classic R2). Support below can be found at 1.0972 (Daily Classic R1), 1.0963 (Hourly 20 EMA), 1.0946 (Daily Classic PP) and 1.0941 (Weekly Classic S1).

Session Recap: USD continues to show strength

European currencies were the best performers on Tuesday but finished far from the highs with the US dollar recovering ground during the American session. Commodity currencies were the biggest decliners. Despite ending mixed, Greenback continues to show strength in the market, limiting corrections.
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