AUD/NZD slides beneath 1.0300 on New Zealand GDP, Australian jobs in spotlight

Upbeat New Zealand GDP figures increased downside pressure on the pair ahead of the key Australian jobs report.
Sellers my concentrate on a breakdown of 1.0292 support for further declines.

Anil Panchal FXStreet

AUD/NZD flirts with 1.0300 with the 1.0298 being latest low on early Thursday. The pair dropped to a week’s low after New Zealand gross domestic product (GDP) data. Investors may now focus on Austria’s employment details for fresh impulse.

New Zealand’s fourth-quarter GDP data trimmed more than 60 pips of the AUD/NZD pair as it rose 0.6% (QoQ) over 0.3% prior. Buyers gave little importance to the yearly GDP figure that lagged behind 2.5% market consensus and 2.6% previous to 2.3%.

Trader’s immediate focus may now turn towards monthly employment figures from the Australian Bureau of Statistics. The seasonally adjusted unemployment rate for February month isn’t likely to change from 5.0% but the employment change may have softened by 14.0K from 39.1K prior.

In addition to data dossier, developments surrounding the US-China trade deal could also weigh on the pair as China is Australia’s largest consumer. Recently, the US lawmakers including treasury secretary and trade representative have conveyed their plans to visit Beijing over the next week in order to give final shape to the trade negotiations before the US President Donald Trump and his Chinese counterpart Xi Jinping meet for the decision. It was earlier speculated that China is rolling back trade proposals which didn’t go well with the commodities and antipodeans.

AUD/NZD Technical Analysis

The quote is yet to break March 13 low of 1.0292 in order to highlight September 2016 bottom around 1.0230 and mid-April 2015 supports near 1.0220.

Alternatively, 1.0370 and 1.0400 are likely nearby resistances that buyers can aim for till they are above 1.0300 round-figure.

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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