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Missed the triangle breakout on this one? Don’t fret!

You might still have a chance to catch the selloff on this quick retest.

AUD/NZD: 1-hour

AUD/NZD 1-hour Forex Chart

AUD/NZD 1-hour Forex Chart

In case you missed it, this pair fell through its descending triangle support recently, indicating that a downtrend is in the cards.

Price is in the middle of a correction to the former support, though, so more Aussie bears might grab this opportunity to short.

In particular, AUD/NZD is testing the resistance at the 38.2% Fibonacci retracement level that’s right smack in line with the broken triangle bottom and 200 SMA dynamic inflection point.

A larger pullback could still reach the 50% Fib near the 1.1000 major psychological mark or the 61.8% Fib closer to the triangle top.

Technical indicators point to a continuation of the slide, as the 100 SMA is below the 200 SMA while Stochastic is heading south.

In that case, AUD/NZD might be in for a drop that’s the same height as the triangle or roughly 125 pips!

There’s not much in the way of top-tier reports from both Australia and New Zealand today, so you gotta keep close tabs on headlines that could drive market sentiment. Good luck!

This content is strictly for informational purposes only and does not constitute as investment advice. Trading any financial market involves risk. Please read our Risk Disclosure to make sure you understand the risks involved.