AUD/NZD Formed a Double Top

Last week AUD/NZD sharply moved to the upside and climbed with 300 pips, from 1.0950 to 1.1252. This week, once the market opened, the pair made another aborted attempted to continue rising before bouncing off from the resistance at 1.1256, forming a double top at that level as well as a clear shooting start candlestick on the four-hour time-frame also on that level.

Both the double top and the shooting star candlestick are good signals that AUD/NZD could move to the downside once again. Should that happen, the closest target will probably be around 1.1160. A breakout below that support could lead to a further move to the downside towards 1.1030, which is the (MA)89 indicator on the four-hour time-frame.