Last friday NFP fall to lows -701k while the unemployment rate increase to 4.4%.
The bad data figure impact Equity market, but strongly support US dollar.
Besides this, USA number infection for Covid-19 keep increase.
Therefore, worse US data (Equity fall, US dollar rally) + Covid-19 (Safe-heaven) which cause USD stand firmly for the next week.
On other hand, NZD which is high-beta currency and high correlated with risk sentiment which pressured by risk-off tone.
Based on technical analysis, H4 timeframe break thru lots of history Bullish engulfing + Support level.
It shall be toward downside.
Long trader who show on bullish engulfing may holding floating loss and they may find chance to cover their long position as BreakEven when the price return back to Resistant level.
Thus, I believe, the price may pull-back to resistant level
To re-start firm down trend movement, M15 consolidation/ranging area shall be brake thru.
The bad data figure impact Equity market, but strongly support US dollar.
Besides this, USA number infection for Covid-19 keep increase.
Therefore, worse US data (Equity fall, US dollar rally) + Covid-19 (Safe-heaven) which cause USD stand firmly for the next week.
On other hand, NZD which is high-beta currency and high correlated with risk sentiment which pressured by risk-off tone.
Based on technical analysis, H4 timeframe break thru lots of history Bullish engulfing + Support level.
It shall be toward downside.
Long trader who show on bullish engulfing may holding floating loss and they may find chance to cover their long position as BreakEven when the price return back to Resistant level.
Thus, I believe, the price may pull-back to resistant level
To re-start firm down trend movement, M15 consolidation/ranging area shall be brake thru.