AUDNOK To Turn Higher?
AUDNOK price action is starting to look interesting here. We’ve seen the pair moving lower within a well-defined bear channel over the decline from December highs. However, the move lower has seen bullish divergence in momentum studies and price is now turning higher, threatening a channel break. If price can clear the 6.3573 level, bulls should see momentum gather, taking price up to 6.4202 as an initial target. On a broader level, the current price lows might transpire to be a higher low against the October lows, carving out a large basing pattern.
Keep An Eye On
AUD is trading with a better tone today following a strong set of employment data overnight which saw the headline unemployment rate falling back to 4.2%. While oil prices remain elevated for now, in favour of a higher NOK, we have seen strong bearish divergence on this last peak, suggesting reversal risks which, if they realised, would help drive AUDNOK higher near term.