AUD/NZD Price Analysis: Daily resistance offers prospects of bearish impulse to correct weekly trend

• AUD/NZD is proving to be in a corrective phase on the longer-term charts which give rise to prospects of a run towards the Fibonacci retracements.
• Bears are looking for a test of daily resistance at this juncture and a rejection to the downside.

The weekly chart has seen a compelling rejecting in a supply zone in an impulse that had seen five consecutive weeks of higher highs and lows.

A 38.2% Fibonacci retracement could be on the cards as follows.

Weekly chart

Daily chart

The daily price action shows that the price is retesting a meanwhile upside correction of the bearish impulse.

The prior lows in the series of consolidatve candles should act as a resistance from which would give rise to a short entry on lower time frames to target the 38.2% Fibonacci of the weekly bullish trend.