Current trend
The New Zealand dollar continues to decline against the US one.
Strengthening of USD is largely due to the Fed's protocols published yesterday: the likelihood of an increase of the key interest rate in September exceeds 85%. Also, officials expressed their concern about trade wars, which could significantly slow the growth of the economy. US-China negotiations have not brought any result yet. NZD is affected by a fall in prices for oil and precious metals. Brent crude oil lost about 0.2%, falling to USD 74.6 per barrel. An increase in gasoline reserves by 1.2 million barrels was also a negative factor for the commodities.
Today, Initial Jobless Claims, the housing price index, and Markit Services PMI will be published.
Support and resistance
Stochastic is at the level of 18 points and indicates the possible correction.
Resistance levels: 0.6683, 0.6713.
Support levels: 0.6652, 0.6622.
Trading tips
Short positions may be opened from the current level with take-profit at 0.6652 and stop loss at 0.6695.
Trade
Scenario
Timeframe Intraday
Recommendation SELL
Entry Point 0.6674
Take Profit 0.6652
Stop Loss 0.6695
Key Levels 0.6622, 0.6652, 0.6683, 0.6713
The New Zealand dollar continues to decline against the US one.
Strengthening of USD is largely due to the Fed's protocols published yesterday: the likelihood of an increase of the key interest rate in September exceeds 85%. Also, officials expressed their concern about trade wars, which could significantly slow the growth of the economy. US-China negotiations have not brought any result yet. NZD is affected by a fall in prices for oil and precious metals. Brent crude oil lost about 0.2%, falling to USD 74.6 per barrel. An increase in gasoline reserves by 1.2 million barrels was also a negative factor for the commodities.
Today, Initial Jobless Claims, the housing price index, and Markit Services PMI will be published.
Support and resistance
Stochastic is at the level of 18 points and indicates the possible correction.
Resistance levels: 0.6683, 0.6713.
Support levels: 0.6652, 0.6622.
Trading tips
Short positions may be opened from the current level with take-profit at 0.6652 and stop loss at 0.6695.
Trade
Scenario
Timeframe Intraday
Recommendation SELL
Entry Point 0.6674
Take Profit 0.6652
Stop Loss 0.6695
Key Levels 0.6622, 0.6652, 0.6683, 0.6713