Escape failed…. Today we have a couple #AUDNZD. As… | by Paul Mihalev | Coinmonks | May, 2023

Today we have a couple #AUDNZD. As usual, we first consider the monthly chart. We see that for 10 years the pair has been trading in a range with a lower limit of 1.015 and an upper limit of 1.105, in the early years the pair often tried to rise higher, but since 2019, travel within this range has been limited. Last year, the pair skipped the upper limit and continued to rise until September, reaching 1.14890. But then, with a strong impulse, she returned to her former borders. The second and current third attempts to rise also ended in failure, although the third attempt still had a chance in the form of two upcoming weeks of trading in May. But perhaps the pair is not yet destined to get above the range already familiar to it.

Let’s take a look at the daily chart. Friday and today were marked by a bullish impulse, and if this impulse continues, the pair will at least reach the 100-day moving average, and at most the 200-day moving average. But usually strong impulses do not serve as the beginning of long term movements and end relatively quickly. We will see what happens this time in the coming days. Far more interesting is the move south, towards the next low of 5 April at 1.05868 or even lower to last year’s low of 16 December at 1.04700. Considering that the general direction of the move is towards the lower end of the range, i.e. the 1.01521 level, this move has the potential to bring a good profit, especially as the daily chart shows the downtrend that has already formed.

Turning to the hourly chart, we try to assess the outlook for the next few days. We can see that yesterday’s upward movement continued today, but without much enthusiasm and only possible due to inertia. If the movement really slows down, then we could see the beginning of a decline tomorrow, which could potentially be the beginning of a big decline. Considering that Friday’s momentum clearly activated stop orders on small timeframes, which should have given impetus for further growth, but the growth is clearly small, it means that sellers orders have absorbed buyers orders, and if the volumes are already sufficient, the downward movement will begin in the very near future, if there is not enough counter liquidity, then the price will try to grow to attract new buyers.