AUD/NZD Price Analysis — December 7

The AUD/NZD traded on a slightly bearish tone in the early European session on Monday, as it retreated from last week’s bull run.

Earlier today, China published its Trade Balance for November, which beat market expectations of $53.5 billion and came in at $75.4 billion. Also, the country reported that its Exports rose by 21% this year.

Despite the upbeat data from China, the Aussie and the Kiwi remained unmoved against other currencies, as investors avoid taking any aggressive bets on Monday.

Meanwhile, both currencies rallied last week as the global market risk mood got a lift, following positive developments surrounding potential COVID-19 vaccines.

In other news, the Reserve Bank of Australia (RBA) kept its rates unchanged last week as expected. The apex bank left its cash rate at a record low of 0.1% and also maintained its A$100 billion quantitative easing program.

Traders will be looking forward to the National Australia Bank’s Business Conference and Q3 House Price Index number from tomorrow for clues to what this pair might do next.

AUD/NZD Value Forecast — December 7

AUD/NZD Major Bias: Sideways

Supply Levels: 1.0600, 1.0650, and 1.0700

Demand Levels: 1.0520, 1.0480, and 1.0400

The AUD/NZD has recorded a slight pullback from last week’s rejection from the base of our descending channel near 1.0400.

At press time, the pair has seen a minor pullback to the 1.0520 price point, where we could likely see a bounce to the top of our descending channel 1.0650. However, a break below the 1.0520 support zone could trigger a fresh selling spree around the AUD/NZD.

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