• AUDNZD broke support area
• Likely to fall to support level 105.55
AUDNZD currency pair recently broke the support area lying at the intersection of the key support level 1.0635 (low of wave 4 from the end of December) intersecting with the 50% Fibonacci correction of the previous sharp upward impulse (1) from the start of December. The breakout of this support area accelerated the active medium-term ABC correction (2) from the middle of January.
Given the strengthening bearish Australian dollar sentiment seen across the FX markets today – AUDNZD currency pair is expected to fall further toward the next support level 105.55 (former strong resistance from the start of December and the target price for the completion of the active correction (2)).
