AUD/NZD rebounds from 1.0540 after NZ GDP

FXStreet (Córdoba) - The AUD/NZD briefly spiked lower from 1.0555 to 1.0526, hitting a 7-week low but then bounced sharply climbing to 1.0580 following the release of economic data from New Zealand, where GDP expanded 0.9% during the fourth quarter in line with expectations.

Technical outlook for the AUD/NZD

The pair holds a downside bias in the short term but the Aussie has a strong support around 1.0540. Since last Wednesday price action remains limited between 1.0615 and 1.0540.

A breakout above 1.0615 could favor further gains for the Aussie, while if the price fall under 1.0540 attention would turn to the 1.0500.