FXStreet (Mumbai) – The Australian dollar extends its winning streak in to a fourth day now, lifting AUD/NZD to fresh multi-month highs beyond 1.1200. The cross jumped higher largely on the kiwi weakness following the NZ GDP data for the first quarter came in below expectations.
AUD/NZD testing highs
Currently, the AUD/NZD pair trades 1.12% higher near fresh seven month highs at 1.1217, recovering from 1.1184 session lows. The cross in AUD/NZD remains firmer this European morning mainly driven by persistent weakness seen in the New Zealand dollar on the back of poor NZ Q1 GDP release which increased RBNZ rate cut bets for a second-consecutive month in July.
According to figures released on Thursday, the New Zealand economy grew a mere 0.2% in the March quarter, much weaker than the 0.6% expansion forecast by the markets and the RBNZ.
However, the gains were capped as the Australian dollar remained pressured, falling in sync with its OZ counterpart while markets now shift their attention towards a deluge of US economic releases which may provide further momentum on the cross.
AUD/NZD Technical Levels
The pair has an immediate resistance at 1.1292 levels, above which gains could be extended to 1.1321 levels. On the flip side, support is seen at 1.1184 levels from here it to 1.1100 levels.
(Market News Provided by FXstreet)