AUD/NZD technical analysis: Sellers again aim for 100-day SMA after Australian trade data

• Sluggish Aussie data triggers fresh selling pressure.
• 100-day SMA and oversold RSI may again play their roles.

With the lesser than forecast and prior figure of Australia’s April month trade balance data, the AUD/NZD pair drops to 1.0513 during initial Thursday.

Australian trade balance slipped below 5,100 million forecast and 4,949 million previous to 4,871 million as per the latest release. However, import and export numbers reversed previous -2.0% contraction with +3.0% gain.

After the data, the quote dropped to the low of 1.0508 which is an inch closer to the 100-day simple moving average (SMA) level of 1.0505 from where the pair took a U-turn on yesterday.

Should near oversold levels of 14-day relative strength index (RSI) play it role in repeating latest pullback, 1.0550 and 1.0600 can entertain short-term buyers ahead of challenging them with 200-day SMA level of .0620.

On the contrary, a downside break of 1.0505 needs validation from sustained weakness below 1.0500 mark in order to visit multiple supports area around 1.0400 printed during late-March.

If prices slip under 1.0400, 1.0370 and March month bottom around 1.0275 can please bears.

AUD/NZD daily chart

Trend: Pullback expected