Aussie rises back above 1.0400, still in danger zone

• Rally of the Aussie post-RBA turns short-lived.
• AUD/NZD hits weekly lows under 1.0400, but then rebounds.

The rebound of the AUD/NZD after the Reserve Bank of Australia meeting was short-lived. The cross then dropped to 1.0380, the lowest since last week. It is hovering around the critical area of 1.0400.

Despite avoiding so far a sharp breakout under 1.0400, technical indicators on the daily chart still favor the downside. A close above 1.0450 would be a positive development for the aussie, suggesting a consolidation ahead with a potential recovery to 1.0500. The next resistance is seen at 1.0510 followed by 1.0540.

While under 1.0450, AUD/NZD seems vulnerable and a consolidation under 1.0400 should target; below the next support stands at 1.0300.

AUD/NZD daily chart