- AUD/NZD remains firmer around a three-week high, up for the fourth consecutive day.
- Sustained break of two-month-old descending trend line, bullish MACD favor buyers.
- Convergence of 50-DMA, resistance line from June challenge immediate upside.
AUD/NZD prints a four-day uptrend surrounding the monthly high, defending the 1.0400 threshold amid Wednesday’s Asian session.
In doing so, the currency pair extends the early-week breakout of a descending resistance line, now support around 1.0350, from late July amid bullish MACD.
However, a confluence of 50-DMA and a 2.5-month-old resistance line, near 1.0440, becomes an immediate challenge for the AUD/NZD bulls to justify their strength.
Should the quote manages to cross the 1.0440 hurdle, the monthly peak near 1.0455 may act as an extra filter to the north before fueling it towards the late August tops surrounding 1.0545.
Meanwhile, pullback moves remain less worrisome until staying beyond the resistance-turned-support line near 1.0350.
Following that, the monthly low around 1.0300, also the lowest level since April 2020, will be in the spotlight.
AUD/NZD: Daily chart
Trend: Further upside expected
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