NZD/USD surges on fundamentals
Daily outlook - NZD/USD surges on fundamentals
- In line with expectations, the currency exchange rate managed to restore lost positions and reached the 0.7279 mark.
- Basically, the pair had a chance to make a rebound from the 100-hour SMA and continue to move downwards in accordance with the general market sentiment, which is 58% bearish.
- However, publications of the FOMC Meeting Minutes gave the pair a new impulse and drive it up until the weekly PP, which is located at the 0.7331 level.
- For this reason, today the buck is expected to try to recover against the Kiwi.
- However, this might not be easy, as the road downstairs is blocked by the 100- and 55-hour SMAs.
- A summary of technical indicators support this vigilance by sending strong buy signal for the 5H timeframe.
- And, yet, for the 1D timeframe majority of technical indicators point out on fall of the rate.
Trade closed: target reached:
NZD/USD heads towards 0.7331
In accordance with expectations, the currency exchange rate continued to gradually slide to the downside until it encountered the 0.7279 support level, which was additionally backed up by the 55- and 100-hour SMAs plus the monthly S1 at 0.7294.
Since the pair could not slip to the bottom, it made a rebound and started to head back towards the weekly PP at 0.7331. If it fails today to break through it, this might be sign of an existence of an ascending triangle with two reaction lows and three reaction highs.
Unfortunately, market sentiment does not provide a clear answer for that, as it remains 56% bearish. In contrast, a summary of various technical indicators send a clear buy signal for the next one and five hour timeframes.
However, afterwards it projects a horizontal movement.
In accordance with expectations, the currency exchange rate continued to gradually slide to the downside until it encountered the 0.7279 support level, which was additionally backed up by the 55- and 100-hour SMAs plus the monthly S1 at 0.7294.
Since the pair could not slip to the bottom, it made a rebound and started to head back towards the weekly PP at 0.7331. If it fails today to break through it, this might be sign of an existence of an ascending triangle with two reaction lows and three reaction highs.
Unfortunately, market sentiment does not provide a clear answer for that, as it remains 56% bearish. In contrast, a summary of various technical indicators send a clear buy signal for the next one and five hour timeframes.
However, afterwards it projects a horizontal movement.
