AUD/NZD Putting Off a Decision from 1.0707

The Australian versus the New Zealand dollar currency pair seems to be prepared to fall. Yet, it continues climbing,

Long-term perspective
The appreciation from the 1.0566 low ended at the 1.1043 high after the firm resistance area of 1.0983 rendered the high as part of a false piercing.
As a result, the bears took their chance and sent the price beneath the previous low, defined at 1.0880. This is how the price back got to the 1.0826 zone.
Once there, the bulls started pushing the price toward the north, but the bears stopped them in their tracks. Even more, they sent the price beneath 1.0826 and invalidated the last bullish stance, which was turned around with the aid of the 1.0895 intermediary level.
From there, the price went south, both for the bulls and also on the chart, as the result was the formation of the 1.0418 low.
Still, the bulls made a new attempt from here, which paid off, as the ex-support area of 1.0551 was recaptured. Even more, 1.0631, an intermediary level, was also conquered.
This was a perfect context for the bulls, which shot the price to the next important area, 1.0707, respectively.
Nevertheless, as the overall trend is a descending one, and as the oscillations between 1.0631 and 1.0707 show the signs of a loss in momentum, the bears are still the ones that can be considered being in charge.
So, as long as the price sits under 1.0707, a fall may be set into place, with 1.0631 being the first target and 1.0551 the second.
Only if 1.0707 is validated as support, the door to 1.0826 opens.

Short-term perspective
From the 1.0418 low, the price went into an ascending movement. It should not be a surprise, as the low forms the head of an inverted head and shoulders pattern, with the shoulders being highlighted by 1.0472 and 1.0513, respectively.
But the resulting rally was soon washed out, leaving behind oscillations that show a very hard advancement toward higher prices.
So, if 1.0681 gets validated as support, then the bulls could continue to push the price to 1.0741. On the other hand, if 1.0681 cedes, then 1.0621, followed by the pattern’s neckline, 1.0573, are the first and second targets, respectively.

Levels to keep an eye on:

D1: 1.0707 1.0631 1.0551 1.0826
H4: 1.0681 1.0741 1.0621 1.0573

If you have any questions, comments, or opinions regarding the Technical Analysis, feel free to post them using the commentary form below.

Original from: www.earnforex.com