AUDNZD has been on an absolute terror of a downtrend the last few months, it seems like nothing is able to stop the trend in it's path. If we have a look on the monthly chart we can see prices have not been this low since 2005! Although we did come close during the 2008 market crash.
The monthly support level being tested is basically the market bottom, it's where the AUDNZD has reached its lowest points and reversed. This major turning point on the chart is a very significant factor for us price action traders. We are watching for any strong bullish signals that indicate the level is holding strong and to identify any bullish trading opportunities.
This is counter trend trading, which is risky but does pay off if it works out. It's best to wait for that powerful counter trend setup to form before taking action, don't chase price around the charts hoping to hook line and sinker a move, you will probably only hit a snag.