AUD/NZD Price Analysis: More downside below 100-day SMA near 1.0550

• AUD/NZD edges lower on Friday in the Asian trading hours.
• Upside momentum recedes upon reaching 1.0600.
• Momentum oscillators hold onto the overbought zone warn caution.

AUD/NZD is on the verge to erase weekly gains on Friday. The cross-currency pair confides in a narrow trade band with no meaningful traction. At the time of writing, AUD/NZD is trading at 1.0535, down 0.03% for the day.

AUD/NZD daily chart

On the daily chart, the AUD/NZD pair has been under selling pressure after testing multi-month highs above 1.0600 on Wednesday. Now, the pair retreats below the 100-day Simple Moving Average (SMA) at 1.0550.

Having said that, if the price breaks the intraday low, it could test the 1.0500 horizontal support level. Now, a break beneath the ascending trendline from the lows of 1.0278 would prompt bears to capture the 1.0450 horizontal support area. Overbought Moving Average Convergence (MACD)  suggests the possibility of the key 1.0400 level.

Alternatively, if the price moves higher manages to scale up beyond 100-day SMA,  it could retest the 1.0590 horizontal resistance level followed by this Wednesday’s high at 1.0615. Next, AUD/NZD bulls would testify to the 1.0650 horizontal resistance level.

AUD/NZD additional levels