FxWirePro: NZD/USD extends break above 0.63 handle, DXY weakness ahead of US CPI data supports
Chart - Courtesy Trading View
NZD/USD was trading 0.43% higher on the day at 0.6311 at around 10:55 GMT.
The pair is edging above 55-EMA and price action has entered the daily cloud.
Momentum is bullish. Stochs and RSI are biased higher, RSI is above the 50 mark.
Price action is above 200H MA and GMMA indicator shows major and minor trend are bullish.
Traders preferring to remain on the sidelines ahead of the key US Consumer Price Index (CPI) due later on Wednesday.
Risk-off escalates ahead of US Inflation data, volatility likely to continue into the release.
US CPI is expected to ease to 8.7% from 9.1% on YoY, as well as the CPI ex Food & Energy which is likely to rise from 5.9% to 6.1%.
Support levels - 0.6283 (200H MA), 0.6261 (21-EMA)
Resistance levels - 0.6352 (Upper BB), 0.6426 (110-EMA)
Summary: NZD/USD trades with a bullish bias. Scope for test of Upper Bollinger band at 0.6352.
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