AUD/NZD failed at 1.1594 resistance Friday; downside target 1.0908?

FXstreet.com (Barcelona) - The AUD/NZD appears to be in the midst of the next wave lower with a minimum downside target of 1.1253 and possibly even 1.0908.

AUD/NZD sliding on a bearish technical set-up and geo-political tensions

AUD/NZD has turned back to the downside after a corrective “abc” move up to 1.1598. That corrective move is definitely leading to a primary move lower. But, the question is whether it is a short-term wave with 1.1253 as a target (from 1.1485 currently) is in process or it is a larger primary move lower with a target of 1.0908.

Traders in AUD/NZD will have to wait until Wednesday to get any meaningful data to digest. Until then, it will be all technical and geo-politics driving the action. Right now, the Aussie Dollar is a heavily-trafficked “risk” currency – and when those betting on risk assets rising get nervous, they liquidate without asking questions. Right now, that appears to be the case with the Aussie Dollar..

Technical outlook for AUD/NZD

Technicians are saying that 1.1594 is the key short-term resistance level to monitor for AUD/NZD. First support for AUD/NZD comes in at 1.1438 and is followed by the 8/19 pivot at 1.1263.