AUD/NZD fades a spike above 1.0650 post-RBA minutes

The recovery in AUD/NZD from daily lows lost pace just ahead of the mid-point of 1.06 handle, sending the prices back towards the session troughs as markets digest RBA minutes.

AUD/NZD tracks AUD/USD lower

The AUD/NZD pair trades modestly lower at 1.0634, testing daily lows struck earlier at 1.0631. The cross in the AUD/NZD ran through fresh offers after the AUD caught a fresh selling-wave across the board in wake of RBA minutes justifying the rate cut move and also as the central bank talked down the exchange rate level.

While the downside remains restricted and the cross manages to hold 1.06 barrier, largely on the back of ongoing weakness seen around the NZD/USD pair as the NZD traders turn cautious ahead of the NZ GDT price index data due later on the day. While the US dataflow will be also tracked for further moves on  both the AUD and NZD.

AUD/NZD Technical Levels

To the upside, the next resistance is located at 1.0650 (100-DMA) and above which it could extend gains to at 1.0670 (10-DMA).To the downside immediate support might be located 1.0550 (post-RBNZ low) below that at 1.0483 (Aug 3 low).