AUD/NZD slumps to fresh 6-week lows on hawkish RBNZ’s Wheeler

The cross in the AUD/NZD resumed its losing streak and slumped to fresh multi-week lows on Tuesday, reversing a temporary bounce witnessed a day before

AUD/NZD drops below all major DMAs

The AUD/NZD pair now drops -0.46% to 1.0430, having posted fresh six-week lows at 1.0420 post-European open. The cross in the AUD/NZD was heavily sold-off into a stronger New Zealand dollar versus its OZ neighbour, in response to RBNZ Governor Wheeler’s hawkish comments delivered earlier today, citing that the central bank doesn’t see a need for rapid easing.

However, the downside seems restricted on the back of some buying interest seen around the AUD/USD pair amid persisting risk-friendly market environment. Attention now turns towards the US economic data due later in the NA session, ahead of the NZ trade balance data lined up for release in the Asian morning on Wednesday.

AUD/NZD Technical Levels

To the upside, the next resistance is located at 1.0450 (psychological levels) and above which it could extend gains to at 1.0483 (5-DMA).To the downside immediate support might be located 1.0400 (round number) below that at 1.0367 (daily S3).\