- Aussie Dollar climbed higher against the New Zealand Dollar recently and cleared a major resistance area.
- AUDNZD is trading in the positive territory ahead of a major release in New Zealand.
- New Zealand Trade Balance report will be released by the Statistics New Zealand with the forecast lined up for a trade deficit of $-800M in September 2015.
There was a nice upside reaction noted in AUDNZD, taking the pair above a major resistance area. There was a bearish trend line on the hourly chart of the AUDNZD pair, which was breached to open the doors for more gains in the near term.
The pair also settled above the 61.8% Fib retracement level of the last drop from the 1.0800 high to 1.0572 low, and settled above all three important simple moving averages on the hourly chart (100, 200 and 50).
If the AUDNZD pair corrects lower from the current levels, then an initial support can be seen around the 100 MA, followed by the broken trend line.
New Zealand Trade Balance
Later during the next Asian session, there is a major release lined up in New Zealand, as the Trade Balance, which is a measure of balance amount between import and export will be released by the Statistics New Zealand.
The market is expecting a trade deficit of $-800M in September 2015, compared with the preceding month in which it came in at $-1,035M. Let us see how the outcome shapes out and affects the New Zealand Dollar.
Currently, looking at the price action it looks like the market is not expecting good numbers for the trade balance. The New Zealand Dollar was seen declining against most major currencies, which is a worrying sign for buyers in the near term.