- AUD/NZD is offering a case for both the bulls and the bears.
- The daily resistance is a keen target, but eyes are on weekly support.
The price of AUD/NZD is testing a long term support which is expected to hold. However, if it does not, the downside will be in focus towards 1.0630 ahead of 1.04 as a long term target.
Bulls, on the other hand, are seeking a test of the daily resistance located in the 1.0760s.
The following is a top-down analysis that illustrates the market structure and the aforementioned target areas from both a bullish and bearish perspective.
Monthly chart
-637387439342923006.png)
As can be seen, the price is supported at a critical level.
If the support gives, then the focus will be on the downside towards the 1.04 area.
Weekly chart
-637387439599970858.png)
The weekly chart shows that the price is trading within a bearish impulse which will have more legs on it if the monthly support is broken.
If support holds, then the focus will be on the upside.
Daily chart
-637387439872644951.png)
On the other hand, if the support holds and the resistance of the early October structure also holds, then the bears could be in with a discount.
1.0630 could be the next stop, however, and offer bulls a discount in targeting the aforementioned daily resistance.
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