The AUDUSD surged sharply higher after headlines crossed that the US and Iran are in the final stages of talks, helping fuel a broader risk-on move and weighing on the US dollar. Among the major currency pairs, the AUDUSD is the strongest performer today, up around 0.76%. The rally pushed the pair to a session high of 0.7174 before easing modestly to trade near 0.7163 currently.
Technically, the bullish move gained momentum after buyers leaned against a key swing area support zone between 0.7100 and 0.7113. Once support held, the pair accelerated higher, breaking above a swing level at 0.7134 and then pushing through the 100-hour moving average at 0.71485. That moving average is now an important short-term barometer for the pair. Staying above it keeps buyers firmly in control and maintains the bullish bias. A move back below the level, however, could disappoint bullish traders and trigger some profit-taking after the sharp run higher.
On the topside, the next major target comes in near the 200-hour moving average at 0.71944. That level also sits within a broader swing area resistance zone between 0.71936 and 0.7200, making it a key upside target and potential battleground between buyers and sellers going forward.
The NZDUSD is also higher by about 0.70% on the day. It too has moved above its 100 hour moving averages 0.5856. The 200 hour moving average of 0.5901 is the next upside target.
