AUD/NZD technical analysis: Below key MAs after NZ CPI, before RBA minutes
- AUD/NZD remains below 21-day EMA after New Zealand CPI data.
- 61.8% Fibonacci retracement holds the key to declines towards 1.0400.
- Sellers await RBA minutes for fresh direction.
Even if New Zealand’s Consumer Price Index (CPI) data recently matched market consensus, AUD/NZD traders await RBA minutes while the quote takes the rounds to 1.0477 during early Tuesday morning in Asia.
New Zealand’s second quarter (Q2) CPI met 1.7% and 0.6% forecasts for YoY and QoQ numbers but remained well on the lower end of the Reserve Bank of New Zealand’s (RBNZ) 1-3% target range. Moving on, the Reserve Bank of Australia (RBA) will release minutes of its latest monetary policy meeting that can guide the pair that’s presently trading below key moving averages (MAs).
A 21-day exponential moving average (EMA) and 50% Fibonacci retracement of March – April upside limit the quote’s immediate upside around 1.0497 and 1.0505, a break of which highlights 100-day EMA level of 1.0533 and the multiple resistance area around 1.0555/60.
Should there be additional rise past-1.0560, 200-day EMA level of 1.0580 seem key to bulls.
On the contrary, pair’s declines below 61.8% Fibonacci retracement level of 1.0450 can direct prices lower towards 1.0425 and then to the 1.0400 numbers to the south.
AUD/NZD daily chart