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20 Mar 2014
NZD/USD returns to Asian lows at 0.8521
FXStreet (Moscow) - NZD/USD is under downside pressure early in Asia as traders are disappointed by 4Q GDP numbers; the pair retraced from the current low at 0.8521, but bears are still in control
FOMC and NZ GDP cut the ground from under NZD/USD bulls
Kiwi is back below 0.8600 and the near-term horizon for the currency is clouded. NZD/USD dropped sharply late on Wednesday on the back of US Dollar rally across the board after the FOMC decision. The downside, started by the fundamental factor, was intensified by a host of triggered stops on short-term long positions. New Zealand GDP report added oil to the fuel as the numbers came out worse that expected (0.9% q/q, 3.1% y/y against forecasted 1.0% q/q, 3.1% y/y). Actually, the figures are still good as there are few developed countries that may boast about economic growth of more than 3.0% y/y. Today’s GDP numbers won’t affect the RBNZ rate expectations, so NZD/USD is likely to reverse some losses as soon as the first reaction wave is over. From the technical point of view, the bears need to go past 0.8520 to open the path to 0.8500. The short-term upside is likely to be limited by 0.8560.
What are today’s key NZD/USD levels?
Today's central pivot point can be found at 0.8576, with support below at 0.8515, 0.8468 and 0.8407, with resistance above at 0.8623, 0.8684 and 0.8731. Hourly Moving Averages are иуфкшыр, with the 200SMA at 0.8531 and the daily 20EMA at 0.8460. Hourly RSI is neutral at 33.
FOMC and NZ GDP cut the ground from under NZD/USD bulls
Kiwi is back below 0.8600 and the near-term horizon for the currency is clouded. NZD/USD dropped sharply late on Wednesday on the back of US Dollar rally across the board after the FOMC decision. The downside, started by the fundamental factor, was intensified by a host of triggered stops on short-term long positions. New Zealand GDP report added oil to the fuel as the numbers came out worse that expected (0.9% q/q, 3.1% y/y against forecasted 1.0% q/q, 3.1% y/y). Actually, the figures are still good as there are few developed countries that may boast about economic growth of more than 3.0% y/y. Today’s GDP numbers won’t affect the RBNZ rate expectations, so NZD/USD is likely to reverse some losses as soon as the first reaction wave is over. From the technical point of view, the bears need to go past 0.8520 to open the path to 0.8500. The short-term upside is likely to be limited by 0.8560.
What are today’s key NZD/USD levels?
Today's central pivot point can be found at 0.8576, with support below at 0.8515, 0.8468 and 0.8407, with resistance above at 0.8623, 0.8684 and 0.8731. Hourly Moving Averages are иуфкшыр, with the 200SMA at 0.8531 and the daily 20EMA at 0.8460. Hourly RSI is neutral at 33.