- Both the Australian and New Zealand Dollars have retained a bullish trend into the end of July, triggered by strong gains since June.
- The push by AUDUSD above the psychological/option level at .8000 signals potential for a more aggressive push higher into the summer.
- For NZDUSD, the push through .7485 reinforces the intermediate-term bullish outlook into August.
AUDUSD – Bullish trend reinforced
A resilient consolidation tone on Thursday above initial support at .7915, sustaining bullish forces from the extremely strong rally after Wednesday’s FOMC Meeting with broad US Dollar weakness, through the psychological/option target at .8000, keeping risk higher into Monday.
Furthermore, the robust July recovery activity has re-energised the intermediate term bullish outlook.
For Today:
- We see an upside bias back up through .8007 closer to .8065.
- But below .7915 opens risk down to the .7876/74 area, which we would look to try to hold.
Intermediate-term Outlook – Upside Risks:
- We see a positive tone with the bullish threat to the 2015 high at .8164.
- Above here targets .8295 and the .8452/82 area.
What Changes This? Below .7784 signals a neutral tone, only shifting negative below .7568.
AUDUS Daily Chart
NZDUSD – Bullish trend intact
A solid consolidation tone Friday after Thursday’s surge higher through the September 2016 cycle high at .7485 and to also breach the psychological/option target at .7500, leaving risk higher for Monday.
Furthermore, the push through .7485 reinforces the intermediate-term bullish outlook into August.
For Today:
- We see an upside bias back up to .7558; Through here target .7591
- But below .7423 opens risk down to .7399.
Intermediate-term Outlook – Upside Risks:
- We see a positive tone with the bullish threat through .7485.
- Above here targets .7744 and .8000/45 area.
What Changes This? Below .7198 signals a neutral tone, only shifting negative below .7003.
NZDUSD Daily Chart
