Both the AUDUSD and NZDUSD are moving higher on the general USD selling after the weaker than expected initial jobless claims.
For the AUDUSD, that move has taken the price away from its 100-day moving average at 0.6574, and toward its 50% midpoint of the move down from the end of December high to the April low. That midpoint level comes in at 0.66159. Above that is a key swing area ceiling between 0.6635 and 0.6648. That ceiling area has held resistance since March 12. Needless to say, it represents a key area on more upside momentum for the AUDUSD.
For the NZDUSD, it’s run to the upside started after basing today at the 38.2% retracement of the last move down from the March double top. That retracement level came in at 0.59905. The NZDUSD is now moving toward its next key swing area between 0.6023 and 0.6037. Within that area is the 50% midpoint of the same move lower (from the large high) and the 200-day moving average. Getting above that area and staying above, would open the door for further upside potential for the pair.
In the video above I take a look at both these currency pairs and outline those key levels in play and the roadmap ahead for traders.
This article was written by Greg Michalowski at www.forexlive.com. Source