AUD/NZD broke higher today as Aussie strength accelerated following Governor Michele Bullock’s clarification that the RBA’s split decision was about timing rather than direction. The pair initially dipped after the surprise 5–4 vote, but sentiment quickly reversed as markets reassessed the outcome as a “hawkish hold” rather than a dovish shift.
Bullock’s comments helped restore confidence in the RBA’s tightening path, emphasizing that all members agreed further policy tightening would be needed to address inflation. That shift in interpretation drove broad-based AUD buying, with AUD/NZD leading gains as the Kiwi lagged amid weaker domestic momentum.
Technically, the break above 1.2118 temporary top confirms resumption of the rally from 1.1412. More importantly, price has pushed through the near-term rising channel ceiling, suggesting that the uptrend is not just continuing but accelerating. The structure supports the view that the current move represents the fifth leg of the broader rally from 1.0649 (2025 low).
Looking ahead, the next key target comes at 100% projection of 1.0759 to 1.1634 from 1.1412 at 1.2467. The bullish outlook will stay intact as long as 1.1867 support holds. Any retreat above that level is likely to be seen as brief rather than a reversal.
