Overview of Kiwi in the midst of a new high
Technical view:
* A/D ratio is descending - accumulation is slowing down and we have a big divergence with the price level;
* Money flows are starting to turn south, as the capital outflow is following the A/D contraction;
* CM top/bottom indicator is in extreme top zone (overbought);
Fundamental view:
* Covid - 19 situation in New Zealand is somewhat under control, as meassures are being taken and followed by the public;
* Although both the NZD and USD interest rates are in par, the economies of the both countries are still experiencing a sluggish recovery;
* USD's demand starting to slowly pick up;
Possible short outcome towards the lower trend line and if: a break there, we may see the price fall towards the marked area, or a good bounce up back inside the overall uptrend.
* A/D ratio is descending - accumulation is slowing down and we have a big divergence with the price level;
* Money flows are starting to turn south, as the capital outflow is following the A/D contraction;
* CM top/bottom indicator is in extreme top zone (overbought);
Fundamental view:
* Covid - 19 situation in New Zealand is somewhat under control, as meassures are being taken and followed by the public;
* Although both the NZD and USD interest rates are in par, the economies of the both countries are still experiencing a sluggish recovery;
* USD's demand starting to slowly pick up;
Possible short outcome towards the lower trend line and if: a break there, we may see the price fall towards the marked area, or a good bounce up back inside the overall uptrend.