Current trend
The rate of NZD fell sharply against USD yesterday, after the speech of the new chairman of the Fed, Jerome Powell, who gave a positive assessment to the steady growth of the US economy, noting that the it is in its best condition over a long period of time. The "hawkish" tone of the Fed Chairman's statements raised fears about four possible rate hikes this year, which could significantly strengthen the USD.
The number of tourists who visited New Zealand was reduced by 0.5%, the decline in the figure after the increase of 3.9% last month did not support NZD. Nevertheless, the decline of the pair slowed down, and at the time of writing the article is trading around the support level of 0.7230.
The main event of today will be the release of annual data on US GDP (15:30 GMT+2). Also, attention should be paid to the release of data on pending home sales in the US (17:00 GMT+2), and the speech of Jerome Powell (17:00 GMT+2). The market is expected to be highly volatile.
Support and resistance
On the H4 chart the pair is decreasing along the lower line of Bollinger Bands. MACD histogram is in the negative zone keeping a signal for the opening of short positions.
Support levels: 0.7230, 0.7200, 0.7175.
Resistance levels: 0.7250, 0.7280, 0.7305, 0.7330, 0.7360, 0.7380, 0.7400.
Trading tips
Short positions may be opened at the current level with the target at 0.7150 and stop-loss at 0.7260. Implementation time: 1-3 days.
Long positions may be opened from the level of 0.7280 with target at 0.7330 and stop-loss at 0.7250. Implementation time: 3-5 days.
New Zealand Dollar vs US Dollar
Buy Sell Spread
0.72231 0.72205 26
Scenario
Timeframe Day's Range
Recommendations SELL
Entry Point 0.7220
Take Profit 0.7150
Stop Loss 0.7260
Support levels 0.7175, 0.7200, 0.7230, 0.7250, 0.7280, 0.7305, 0.7330, 0.7360, 0.7380, 0.7400
Alternative scenario
Recommendations BUY STOP
Entry Point 0.7280
Take Profit 0.7330
Stop Loss 0.7250
Support levels 0.7175, 0.7200, 0.7230, 0.7250, 0.7280, 0.7305, 0.7330, 0.7360, 0.7380, 0.7400
The rate of NZD fell sharply against USD yesterday, after the speech of the new chairman of the Fed, Jerome Powell, who gave a positive assessment to the steady growth of the US economy, noting that the it is in its best condition over a long period of time. The "hawkish" tone of the Fed Chairman's statements raised fears about four possible rate hikes this year, which could significantly strengthen the USD.
The number of tourists who visited New Zealand was reduced by 0.5%, the decline in the figure after the increase of 3.9% last month did not support NZD. Nevertheless, the decline of the pair slowed down, and at the time of writing the article is trading around the support level of 0.7230.
The main event of today will be the release of annual data on US GDP (15:30 GMT+2). Also, attention should be paid to the release of data on pending home sales in the US (17:00 GMT+2), and the speech of Jerome Powell (17:00 GMT+2). The market is expected to be highly volatile.
Support and resistance
On the H4 chart the pair is decreasing along the lower line of Bollinger Bands. MACD histogram is in the negative zone keeping a signal for the opening of short positions.
Support levels: 0.7230, 0.7200, 0.7175.
Resistance levels: 0.7250, 0.7280, 0.7305, 0.7330, 0.7360, 0.7380, 0.7400.
Trading tips
Short positions may be opened at the current level with the target at 0.7150 and stop-loss at 0.7260. Implementation time: 1-3 days.
Long positions may be opened from the level of 0.7280 with target at 0.7330 and stop-loss at 0.7250. Implementation time: 3-5 days.
New Zealand Dollar vs US Dollar
Buy Sell Spread
0.72231 0.72205 26
Scenario
Timeframe Day's Range
Recommendations SELL
Entry Point 0.7220
Take Profit 0.7150
Stop Loss 0.7260
Support levels 0.7175, 0.7200, 0.7230, 0.7250, 0.7280, 0.7305, 0.7330, 0.7360, 0.7380, 0.7400
Alternative scenario
Recommendations BUY STOP
Entry Point 0.7280
Take Profit 0.7330
Stop Loss 0.7250
Support levels 0.7175, 0.7200, 0.7230, 0.7250, 0.7280, 0.7305, 0.7330, 0.7360, 0.7380, 0.7400