There was a rebound from the key support on the AUDNZD in the first half of April this year in a form of an upward trend line extended from the low of 2015, which at the same time constituted the bottom of the long-term downward trend.
As can be seen in the daily chart below, following a rebound, price crossed the downward trend line running from last year’s highs. In addition, highs and lows are now formed at higher and higher levels, which indicates the presence of an upward trend.
This month, the downward trend line has been broken, and has been tested as a new support and has so far proven itself in its role. The movement that led the quotations to this line is additionally a correction of the last, strong growth impulse. You can, therefore, look for signs of completion of the correction to potentially occupy long positions.
The end of correction may be considered when breaking the correction line extending from the May high. Then the way to the continuation of the trend will be opened, where after breaking 1.0960, the buyers may continue to reach the resistance at 1.1050.
