Trying AUDNZD higher here.
More of a trend trade, we have a double bottom below as well as support in terms of the price just before AUD CPI came out, that should act as support as well. We also have the 100 DMA just below that could act as support.
In terms of narrative we have had decent AUD economic data while the NZD data hasn't been so great, we also have rising AUD CPI and potentially topping NZD CPI which should mean a more hawkish RBA going forward and a less hawkish/peak RBNZ as well. i imagine the market will also price in a pause for the RBNZ coming up at the next meeting. This has been one of the main advantages for the NZD.
rate differentials are pointing higher as well, we've had a big move higher while AUDNZD hasn't moved too much higher so we could see AUDND catch up to the move higher in rate differentials.
Not trading/investment advise, feedback welcome!
More of a trend trade, we have a double bottom below as well as support in terms of the price just before AUD CPI came out, that should act as support as well. We also have the 100 DMA just below that could act as support.
In terms of narrative we have had decent AUD economic data while the NZD data hasn't been so great, we also have rising AUD CPI and potentially topping NZD CPI which should mean a more hawkish RBA going forward and a less hawkish/peak RBNZ as well. i imagine the market will also price in a pause for the RBNZ coming up at the next meeting. This has been one of the main advantages for the NZD.
rate differentials are pointing higher as well, we've had a big move higher while AUDNZD hasn't moved too much higher so we could see AUDND catch up to the move higher in rate differentials.
Not trading/investment advise, feedback welcome!