Market Analysis: AUD/USD and NZD/USD Pull Back, Caution Creeps In

AUD/USD failed to stay in a positive zone and declined below 0.6700. NZD/USD is also moving lower and might extend losses below 0.5700.

Important Takeaways for AUD/USD and NZD/USD Analysis Today

· The Aussie Dollar started a fresh decline from well above 0.6740 against the US Dollar.

· There is an expanding triangle forming with resistance at 0.6705 on the hourly chart of AUD/USD at FXOpen.

· NZD/USD declined steadily from 0.5800 and traded below 0.5760.

· There is a key bearish trend line forming with resistance at 0.5750 on the hourly chart of NZD/USD at FXOpen.

AUD/USD Technical Analysis

On the hourly chart of AUD/USD at FXOpen, the pair struggled to clear 0.6765. The Aussie Dollar started a fresh decline below 0.6750 against the US Dollar.

The pair even settled below 0.6720 and the 50-hour simple moving average. There was a clear move below 0.6680. A low was formed at 0.6663, and the pair is now consolidating losses. There was a minor recovery wave above the 23.6% Fib retracement level of the downward move from the 0.6766 swing high to the 0.6663 low.

On the upside, immediate resistance is near an expanding triangle at 0.6705. The next major hurdle for the bulls could be near 0.6725 and the 61.8% Fib retracement.

The main selling point could be 0.6740, above which the price could rise toward 0.6765. Any more gains might send the pair toward 0.6800. A close above 0.6800 could start another steady increase in the near term. In the stated case, the next key resistance on the AUD/USD chart could be 0.6840.

On the downside, initial support is near 0.6675. The next area of interest might be 0.6665. If there is a downside break below 0.6665, the pair could extend its decline. The next target for the bears might be 0.6620. Any more losses might send the pair toward 0.6600.

NZD/USD Technical Analysis

On the hourly chart of NZD/USD on FXOpen, the pair also followed a similar pattern and declined from the 0.5800 zone. The New Zealand Dollar gained bearish momentum and traded below 0.5770 against the US Dollar.

The pair settled below 0.5760 and the 50-hour simple moving average. Finally, it tested 0.5710 and is currently consolidating losses. There was a minor increase above the 23.6% Fib retracement level of the downward move from the 0.5810 swing high to the 0.5711 low.

If the pair recovers, it could face hurdles near 0.5750 and a key bearish trend line. The next major barrier is at 0.5760 since it coincides with the 50% Fib retracement.

If there is a move above 0.5760, the pair could rise toward 0.5770. Any more gains might open the doors for a move toward 0.5810 in the coming days. On the downside, immediate support on the NZD/USD chart is 0.5735.

The next major stop for the bears might be 0.5710. If there is a downside break below 0.5710, the pair could extend its decline toward 0.5665. The main target for the bears could be 0.5640.

Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips (additional fees may apply). Open your FXOpen account now or learn more about trading forex with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.