As you might imagine, the near-term technical considerations on NZD/USD will likely be dwarfed by Tuesday’s major fundamental data, but it’s still worth highlighting some of the key levels to monitor.
On a disappointing jobs report, the most important zone to watch will be around .6600, which represents the convergence of the 100-day MA and bottom of the near-term . A break below that level could open the door for a deeper retracement toward the .6400-.6500 range, especially if NFP comes out solid on Friday. On the other hand, a strong NZ jobs report could take the pair through the topside of the near-term to expose the 200-day MA and 50% at .7000 next. Either way, NZD/USD traders are optimistic that we’ll see return to the pair this week.