Back
28 Jan 2014
NZD/USD gets some fuel from traders’ expectations
FXstreet.com (Moscow) - After reaching the local high at 0.8276 NZD/USD retraced back to 0.8260 where it found support.
RBNZ will decide the fate of NZD
NZD/USD showing good potential to go higher despite the quite dovish comments from Finance Minister Bill English concerned by appreciation of kiwi against AUD. Nevertheless, RBNZ policy meeting is already at our doorstep. The rates market is pricing nearly a 50% chance of a 25bp hike this week, though we do not think that the central bank will dare to raise rates this time as the turbulence at the emerging markets undermines business confidence in New Zealand and rattles its commodity-driven economy. NZD/USD started the week on the positive note and managed to stabilize above the key support of 0.8210. Though from the fundamental point of view the negative sentiments at the emerging markets and FED tapering theme might weigh on the NZD and push it down back to the mentioned support, we still wait to see new highs during the coming days up till the RBNZ meeting. Watch out for the resistance at 0.8272, once it is broken the NZD/USD might go higher to 0.8301.
What are today’s key NZD/USD levels?
Today's central pivot point can be found at 0.8234, with support below at 0.8205 (S1), 0.8167 (S2), and 0.8138 (S3) with resistance above at 0.8272 (R1), 0.8301 (R2), and 0.8339 (R3). Hourly Moving Averages are bullish, with the 200SMA at 0.8289 and the daily 20EMA bearish at 82.77. Hourly RSI is neutral at 61.
RBNZ will decide the fate of NZD
NZD/USD showing good potential to go higher despite the quite dovish comments from Finance Minister Bill English concerned by appreciation of kiwi against AUD. Nevertheless, RBNZ policy meeting is already at our doorstep. The rates market is pricing nearly a 50% chance of a 25bp hike this week, though we do not think that the central bank will dare to raise rates this time as the turbulence at the emerging markets undermines business confidence in New Zealand and rattles its commodity-driven economy. NZD/USD started the week on the positive note and managed to stabilize above the key support of 0.8210. Though from the fundamental point of view the negative sentiments at the emerging markets and FED tapering theme might weigh on the NZD and push it down back to the mentioned support, we still wait to see new highs during the coming days up till the RBNZ meeting. Watch out for the resistance at 0.8272, once it is broken the NZD/USD might go higher to 0.8301.
What are today’s key NZD/USD levels?
Today's central pivot point can be found at 0.8234, with support below at 0.8205 (S1), 0.8167 (S2), and 0.8138 (S3) with resistance above at 0.8272 (R1), 0.8301 (R2), and 0.8339 (R3). Hourly Moving Averages are bullish, with the 200SMA at 0.8289 and the daily 20EMA bearish at 82.77. Hourly RSI is neutral at 61.