The pair drifts lower, extending the 2018 decline (bar the flash crash lows to 1.0040) that has exceeded 2018 lows up at 1.0488.
However, the lack of momentum to the downside finds the price drifting along the base of the cloud at 1.0365 (a low of 1.0359 was made overnight).
A break here opens risk towards a deeper leg of the southerly trajectory to 1.0310 and 1.0220 on the wide.
On the flipside, a rise to the upside will look to test the descending trend line resistance on the daily sticks located around 1.0450/60 and comes as a possible breakup area with a confluence of the 38.2% Fibo retracement target of the late 2018 downtrend from 1.1175 – This is located at 1.0475.
AUD/NZD Daily Chart
Original from: www.fxstreet.com