- The pair drifts lower, extending the 2018 decline (bar the flash crash lows to 1.0040) that has exceeded 2018 lows up at 1.0488.
- However, the lack of momentum to the downside finds the price drifting along the base of the cloud at 1.0365 (a low of 1.0359 was made overnight).
- A break here opens risk towards a deeper leg of the southerly trajectory to 1.0310 and 1.0220 on the wide.
- On the flipside, a rise to the upside will look to test the descending trend line resistance on the daily sticks located around 1.0450/60 and comes as a possible breakup area with a confluence of the 38.2% Fibo retracement target of the late 2018 downtrend from 1.1175 – This is located at 1.0475.
AUD/NZD Daily Chart
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