• AUD/NZD grinds higher after bouncing off two-week low.
  • Market’s risk-aversion takes a pause amid quiet start of the key day.
  • RBNZ’s likely 50 bps rate hike seems already priced-in and hence a disappointment will be more interesting to watch.

AUD/NZD renews intraday high around 1.01015 as it battles the key hurdle after bouncing off a fortnight low the previous day. That said, the cross-currency pair cheers mildly optimistic market sentiment ahead of the Reserve Bank of New Zealand (RBNZ) Interest Rate Decision.

Global markets began the week on firmer footing before portraying a risk-off day on Tuesday, recently picking pace again, as traders seek confirmations of mixed signals from the major central banks amid inflation growth fears. Even so, softer yields and the US dollar seem to underpin the run-up in Antipodeans. It’s worth noting that the New Zealand Dollar (NZD) seems to have been weighed down of late, despite hawkish expectations from today’s RBNZ, as the widely anticipated 50 bps rate hike is likely already priced-in.

Also weighing on the AUD/NZD prices could be the recent comments from China suggesting more stimulus and efforts tame covid as the nation struggles to justify growth potential.  Additionally, a more disappointing outcome of the New Zealand Q1 Retail Sales, -0.5% QoQ versus 8.3% prior, compared to the slightly softer Aussie PMIs also weighs on the quote.

Against this backdrop, the S&P 500 Futures rise half a percent after mixed closing on the Wall Street whereas the US 10-year Treasury yields dropped the most in a week to refresh a one-month low of around 2.717%.

Looking forward, comments from RBA Assistant Governor (Economic) Luci Ellis could offer intermediate clues to the AUD/NZD traders ahead of the key RBNZ.

Read: Reserve Bank of New Zealand Preview: Will they step up their tightening game?

Technical analysis

AUD/NZD bounces off a 10-week-old ascending trend line, around 1.0985, to challenge the weekly resistance line and the 21-DMA near 1.1015.

Additional important levels

Today last price 1.1012
Today Daily Change 0.0027
Today Daily Change % 0.25%
Today daily open 1.0985
Daily SMA20 1.1006
Daily SMA50 1.0902
Daily SMA100 1.0799
Daily SMA200 1.0628
Previous Daily High 1.1052
Previous Daily Low 1.0972
Previous Weekly High 1.1123
Previous Weekly Low 1.0981
Previous Monthly High 1.1
Previous Monthly Low 1.0762
Daily Fibonacci 38.2% 1.1002
Daily Fibonacci 61.8% 1.1021
Daily Pivot Point S1 1.0954
Daily Pivot Point S2 1.0923
Daily Pivot Point S3 1.0874
Daily Pivot Point R1 1.1034
Daily Pivot Point R2 1.1083
Daily Pivot Point R3 1.1114



Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news Join Telegram

Recommended content

Recommended content

Editors’ Picks

EUR/USD rebounds, steadies above 1.0400

EUR/USD rebounds, steadies above 1.0400

EUR/USD has staged a rebound and reclaimed 1.0400 during the American trading hours on Friday with the US Dollar Index retreating from the multi-week high it set at above 105.60. Nevertheless, the pair remains on track to close the week in negative territory. 


GBP/USD climbs to 1.2050 area, looks to post weekly losses

GBP/USD climbs to 1.2050 area, looks to post weekly losses

GBP/USD reversed its direction and advanced to the 1.2050 area after having dropped to 1.1976 earlier in the day. The pair is still down more than 1% on the day with safe-haven flows dominating the financial markets following the disappointing PMI data from the US.


Gold rebounds above $1,800 as US yields fall sharply

Gold rebounds above $1,800 as US yields fall sharply

Gold has regained its traction and recovered above $1,800 after having slumped to a multi-month low below $1,790. Following the dismal PMI data from the US, the benchmark 10-year US Treasury bond yield is down more than 6% on the day, fueling XAU/USD's rebound.

Gold News

Why traders are rushing to exit positions on Cardano’s ADA price

Why traders are rushing to exit positions on Cardano’s ADA price

Cardano (ADA) price has had its performance review as the summer kicks off. ADA bulls are returning home with not-that-good a scorecard, and the underperformance could cut short holiday funding for the cryptocurrency.

Read more

FXStreet Premium users exceed expectations

FXStreet Premium users exceed expectations

Tap into our 20 years Forex trading experience and get ahead of the markets. Maximize our actionable content, be part of our community, and chat with our experts. Join FXStreet Premium today!