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AUDUSD and NZDUSD rise on risk-on sentiment and technical support

AUDUSD held above its 100-hour moving average near 0.6988, while NZDUSD built higher highs and higher lows since a June 26 low.

Reported · Written up by our desk · Major Pairs

AUDUSD and NZDUSD rose at the start of the North American session, supported by an improving risk-on environment and constructive technical developments, according to Forexlive. U.S. equity futures were pointing to a stronger open, with S&P 500 futures up roughly 21 points and Nasdaq futures ahead by about 252 points.

A risk-on shift was also linked to ongoing discussions around a possible 10-day cease-fire in the Middle East and renewed optimism that the Strait of Hormuz could reopen to normal shipping traffic, which traders said encouraged movement back into risk-sensitive assets. That backdrop provided a tailwind for both the Australian dollar and the New Zealand dollar.

For AUDUSD, the pair found buyers within a swing support area between 0.6962 and 0.6978, then moved higher after breaking above its 100-hour moving average and retesting it, with the moving average near 0.6988. The price reached a session high near 0.7014 before easing, and the near-term bias stayed bullish as long as it remains above the 100-hour moving average, with the next downside reference tied to the rising 200-hour moving average at 0.6962.

On NZDUSD, the outlook has been stronger on the charts, as the pair has posted higher highs and higher lows since establishing a low on June 26. After reaching a high of 0.5862 last Wednesday, it moved into a correction, with the technical trend still indicating continued upside momentum.

Latest closeS&P 500 7,765.36 ▼0.5%|Nasdaq Comp. 27,193.34 ▼1.2%

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