AUD/NZD hovers over key support and bulls eye break of 1.0750s
- AUD/NZD bulls need to get over the 1.0750 mark.
- Bears eye prospects of a move below the triple bottom lows near 1.0670.
AUD/NZD is flat on the day after trading between a low of 1.0695 and a high of 1.0726 so far. It is a quiet start to the week while attention is on the banking crisis and Australia´s inflation data this week.
February´s Consumer Price Index print will grab attention after the Bank flagged it as a key data point for its April decision.
´´Our dovish forecast is due to the large seasonal decline from recreational services, partly offset by firm price increases rises for education and transport. We still retain a 25bps hike for the April meeting as inflation is still far above the RBA's inflation target,´´ analysts at TD Securities explained.
Meanwhile, analysts at ANZ Bank argued a bullish case for the Kiwi. ´´Although markets are skeptical about the idea that there is no trade-off between financial stability and price stability, NZ’s strong banks and remoteness make that more likely here; that may help NZD.´´
AUD/NZD technical analysis
Although the price broke the trendline resistance, the bulls need to get over the 1.0750 mark or they face pressures and prospects of a move below the triple bottom lows near 1.0670.
Author
Ross J Burland
FXStreet
Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.
