Back
29 Dec 2014
AUD/NZD set for a test of the 1.0420 and 2005 support
FXStreet (Guatemala) - AUD/NZD is trading at 1.0477, up 0.13% on the day, having posted a daily high at 1.0480 and low at 1.0461.
The Kiwi keeps on advancing vs its neighbouring currency, the Australian dollar. The cross has touched its lowest point since 2005. Commodity currencies are continuing to deter investors away from associated assets and that is weighing on the Aussie more so, especially when taking the divergence between the two Central banks into account.
With investors searching for yield, the Kiwi has the advantage. Meanwhile, both central banks are attempting to talk their currencies down although there has been a dovish tone set by the RBA and that keeps markets on the look out for an early move from the central bank into 2015. On further advances by the Kiwi and entering oversold territory on the daily RSI (14), the question of parity will be into question again when trading well into 2005 levels and testing 1.0420 support.
The Kiwi keeps on advancing vs its neighbouring currency, the Australian dollar. The cross has touched its lowest point since 2005. Commodity currencies are continuing to deter investors away from associated assets and that is weighing on the Aussie more so, especially when taking the divergence between the two Central banks into account.
With investors searching for yield, the Kiwi has the advantage. Meanwhile, both central banks are attempting to talk their currencies down although there has been a dovish tone set by the RBA and that keeps markets on the look out for an early move from the central bank into 2015. On further advances by the Kiwi and entering oversold territory on the daily RSI (14), the question of parity will be into question again when trading well into 2005 levels and testing 1.0420 support.