AUD/USD started a fresh decline from the 0.7275 zone. NZD/USD is also declining and there is a risk of a move below the 0.6720 support.

Important Takeaways for AUD/USD and NZD/USD

· The Aussie Dollar started another decline from well above the 0.7250 level against the US Dollar.

· There was a break below a key bullish trend line with support near 0.7200 on the hourly chart of AUD/USD.

· NZD/USD also declined sharply below the 0.6750 support zone.

· There is a connecting bearish trend line forming with resistance near 0.6790 on the hourly chart of NZD/USD.

AUD/USD Technical Analysis

The Aussie Dollar struggled to clear the 0.7275 level against the US Dollar. The AUD/USD pair started a fresh decline below the 0.7250 support level to move into a bearish zone.

The bears were able to push the pair below the 50% Fib retracement level of the upward move from the 0.7170 swing low to 0.7275 high (formed on FXOpen). Besides, there was a break below a key bullish trend line with support near 0.7200 on the hourly chart of AUD/USD.

The pair settled below the 0.7220 support level and the 50 hourly simple moving average. It is now consolidating near the 0.7185 level.

The 76.4% Fib retracement level of the upward move from the 0.7170 swing low to 0.7275 high is also protecting losses. On the downside, an initial support is near the 0.7170 level. If there is a downside break below the 0.7170 support, the pair could extend its decline towards the 0.7125 level.

Any more downsides might send the pair toward the 0.7100 level. On the upside, the pair is facing resistance near the 0.7210 level.

The next major resistance is near the 0.7240 level. A close above the 0.7240 level could start a steady increase in the near term. The next major resistance could be 0.7300.

NZD/USD Technical Analysis

The New Zealand Dollar also followed a similar path from the 0.6800 zone against the US Dollar. The NZD/USD pair traded below the 0.6780 support zone to enter a bearish zone.

The pair even traded below the 0.6750 level and the 50 hourly simple moving average. A low was formed near 0.6723 and the pair is now consolidating losses. The pair is now struggling and facing resistance near the 0.6750 level.

The first key resistance is near the 0.6765 level. It is near the 50% Fib retracement level of the downward move from the 0.6805 swing high to 0.6723 low.

The next major resistance is near the 0.6780 level. There is also a connecting bearish trend line forming with resistance near 0.6790 on the hourly chart of NZD/USD. The trend line is near the 76.4% Fib retracement level of the downward move from the 0.6805 swing high to 0.6723 low.

A clear move above the 0.6790 level might even push the pair above the 0.6800 level. In the stated case, the pair could rise towards the 0.6840 level.

On the downside, an initial support is near the 0.6725 level. The first key support is near the 0.6700 level, below which the pair could extend losses. The next major support is near the 0.6680 level. If there is a downside break below the 0.6680 support, the pair could extend its decline towards the 0.6650 level.

This forecast represents FXOpen Markets Limited opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Markets Limited products and services or as financial advice.

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