AUD/NZD slightly bid in the Asian session up around 0.25%, Kiwi weakness seen as we head into the RBNZ policy meet tomorrow
RBNZ is widely expected to cut rates at tommorow's meeting by 25bps, to 2.50 percent. In the event it does cut there will likely be a "knee-jerk reaction in the Kiwi.
AUD/NZD has taken channel base support at 1.0840 and edged higher, scope for test of 1.0935 (38.2% Fib of 1.1086-1.0840 fall)
The pair is currently trading at 1.0886, with day's high at 1.0899 and lows by 1.0840, daily techs show Stochs are at oversold levels, some unwinding likely, is also biased higher
Immediate resistance is seen at 1.0899 (23.6% Fib of 1.1086-1.0840 fall), pair is currently struggling to break higher
Above 1.0899 next resistance is seen at 1.0908 (daily Kijun) ahead of 1.0935 (38.2% Fib of 1.1086-1.0840 fall)
Strong support is seen at 1.0835, breaks below invalidate our call
Recommendation: We find it good to buy dips around 1.0875, SL: 1.0835, TP: 1.0945