AUD/NZD edges higher after upbeat Aussie trade data

• Australia reported a wider-than-expected Jan trade surplus. 
• AUD/NZD clocks fresh session high, but big gains remain elusive. 
• Charts suggest the tables may have turned in favor of the bulls. 

The Aussie dollar is pushing higher against its New Zealand counterpart after the Australia Bureau of Statistics reported a much wider January trade surplus.

The exports rose 4 percent, while the imports dipped 2 percent. in seasonally adjusted terms. So, the nation logged a trade surplus of AUD 1055 million, which was much wider than the consensus estimate of AUD 300 million. The AUD/NZD cross jumped 20 pips to a session high of 1.0759 following the release of the trade data and was last seen trading around 1.0753. 

The positive price action is encouraging, although big gains remain elusive despite the upbeat macro data and bullish technical set up. 

AUD/NZD - Bottom in place?

The pair seems to have formed a small rounding bottom around 1.0650, according to the daily chart. Also, the relative strength index (RSI) has bottomed out around 32.00. Further, the previous day's long-tailed doji candle signals bearish exhaustion and a bullish follow-through today would confirm the sell-off from the Oct. 24 high of 1.1290 has ended. 

AUD/NZD Technical Levels

A break above 1.0766 (Mar. 6 high) would allow a stronger rally to 1.0827 (Feb. 28 high) and 1.0854 (descending 50-day moving average). On the downside, a drop below 1.0719 (100-hour moving average) could yield a re-test of 1.0666 (previous day's low) and 1.0654 (Feb. 22 low).