At 1.1147, it has taken supports in recent past and bounced above 1.1290.
More importantly, the current prices have spiked well above 7 & 21DMA curves on that would mean that the upswings may extend further.
Both technical and fundamental indicators are signalling short term buying sentiments.
On , today it has formed a big real body bull candle soon after RBA's hints of easing as Australia's improved economy, growing at steady pace despite global economic struggle. And most notably, the recent surprising rate cuts package from RBNZ by 25 bps causing more expectation in further easing cycle in 2016, this would bring in more upside potential of this APAC pair.
Well, this bull run may prolong in short term but long term we seek breach of 1.1290 for more clarity as the price levels below 1.1290 from almost last two and half years.
The leading oscillators are bias, evidences the positive convergence with the every price bounces that signifies the strength in momentum, (currently, trending at 66.5646).
While, no there is no selling indications even if curve reaches above 80 levels which is overbought zone. %K crossover even above 80s would mean that bulls seem to be in total control over rallies in order to bounce above current levels. favours upswings to prolong further.
However, long term investors may have to wait for one more strong signal if it breaks 1.1290 on a closing basis then it would be a better clarity as you can see the stiff resistance at 1.1290 and 1.1416 levels on monthly charts.
As and when it hits these levels prices began tumbling with massive volumes evidences is intensive at this juncture.
Well, having said that we wrap up with concluding note, short term bulls can speculate this pair upto 1.1290 whereas long term investors have to wait for safe play as we stated in our earlier post.
Trade tips: For today, intraday speculators can eye on asset or nothing binary options of this pair for leveraging profitability.
When traders buy a call and this contract is on winning move, they are given a unit of the asset, instead of a fixed amount of cash. Thus, the price of the asset at expiry determines the trader’s gain.