Key Points
- The Aussie dollar declined recently against the Kiwi Dollar and traded below 1.0480.
- There is a bearish trend line formed on the hourly chart of AUDNZD, acting as a resistance for the pair.
- Today in New Zealand, the Business Confidence was released by the ANZ.
- There outcome was a bit lower, as there was a decline from the last reading of 24.5 to 20.5 in Nov 2016.
AUDNZD Technical Analysis
The Aussie dollar was seen struggling recently against the Kiwi dollar, as it declined below a couple of support levels like 1.0540 and 1.0480. The AUDNZD pair recently attempted to correct higher, but failed to break a bearish trend line formed on the hourly chart.
The pair is once again trading down, and about to break the recent low of 1.0446 for more declines in the short term.
A break below the recent low may be sell signal with a potential of a move towards the 1.0420 and 1.0410 levels.
ANZ Business Confidence
Today in New Zealand, the Business Confidence, which shows the business outlook and allows analysis of the economic situation in the short term was released by the ANZ.
The market was no major decline in the index, but the outcome was a bit lower as there was a decrease from the last reading of 24.5 to 20.5 in Nov 2016. The report stated that a “net 21% of businesses are optimistic about the year ahead, down 4 points on the month prior. That is a small move; it’s still the third-highest confidence reading of 2016. Agriculture firms are on the crest of the wave while manufacturing is in the chop”.
Overall, the AUDNZD looks bearish, and there are chances of more declines towards 1.0420 in the short term.
