Current trend

On Tuesday, the US dollar strengthened against the New Zealand one.

The market was focused on US politics’ commentaries. Fed’s head Jerome Powell made a speech at the conference in Switzerland. There was no new information in his commentaries, and he noted that the market had received a signal of Fed’s intention to increase rates long ago, so it should not be surprised with it. However, he mentioned, that the rates would grow if American economy would meet the regulator’s expectations. In the evening, US President Donald Trump announced the withdrawal from the agreement on the Iranian nuclear program, adding that the US will resume sanctions. Trump's decision, however, almost did not affect the strength of USD against NZD.

New Zealand published data on the change in the level of retail sales using electronic payment cards. The indicator showed mixed dynamics, decreasing by 2.2% MoM and increasing by 0.8% YoY, respectively.

Support and resistance

On the H4 chart, the pair declines along the lower border of Bollinger Bands, the price range is widened, which indicates a possible continuation of the uptrend. MACD histogram is in the negative zone keeping a signal for the opening of short positions.

Support levels: 0.6950, 0.6920, 0.6900, 0.6850.

Resistance levels: 0.6975, 0.7000, 0.7030, 0.7050, 0.7070, 0.7100.

Trading tips

Short positions may be opened from the current level with the target at 0.6900 and stop-loss at 0.7000.

Long positions may be opened from the level of 0.7030 with targets at 0.7100 and stop-loss at 0.7000.

Implementation time: 1-3 days.

New Zealand Dollar vs US Dollar

BuySellSpread
0.67970.6794525

Scenario

TimeframeDay's Range
RecommendationsSELL
Entry Point0.6957
Take Profit0.6900
Stop Loss0.7000
Support levels0.6850, 0.6900, 0.6920, 0.6950, 0.6975, 0.7000, 0.7030, 0.7050, 0.7070, 0.7100

Alternative scenario

RecommendationsBUY STOP
Entry Point0.7030
Take Profit0.7100
Stop Loss0.7000
Support levels0.6850, 0.6900, 0.6920, 0.6950, 0.6975, 0.7000, 0.7030, 0.7050, 0.7070, 0.7100
NZD/USD: general review

The material published on this page is produced by the Claws&Horns Company and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC; furthermore it has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of the dissemination of investment research.

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