The New Zeeland dollar is ranked among the so called "commodity currencies", since the export of raw materials predominates in the GDP structure of New Zeeland. As opposed to Australia, where gold is evidently the main export element, New Zeeland exports various kinds of raw materials, which lets many traders find some correlations between the movements of the NZD and the Commodity Research Bureau Index representing at least 58%, according to many analysts. It provides both another advantage when forecasting the movements of NZDUSD and an opportunity for hedging and making profits through arbitrage operations.
At the same time, NZDUSD is included into the group of major currency pairs, which gives such an advantage in the eyes of investors as the highest liquidity and considerable potential for profit making expressed in the dynamics of this financial tool.
Risk warning: Trading in FX and CFDs entails high risk of losing capital.