Chart - Courtesy Trading View
Spot Analysis:
NZD/USD was trading 0.36% higher on the day at 0.6329 at around 10:00 GMT.
Previous Week's High/ Low: 0.7011/ 0.6855
Previous Session's High/ Low: 0.6346/ 0.6298
Fundamental Overview:
A modest recovery in the risk sentiment weighs on the greenback and benefits the risk-sensitive Kiwi.
Focus now on U.S. data on consumer prices and retail sales later this week which will determine near-term direction.
Headline and core US consumer prices are expected to rise 0.4% for the month, while sales is likely to rebound by 1.6%.
Technical Analysis:
- NZD/USD hovers around 55-EMA and cloud top
- The pair has formed Doji on the previous week's candle
- Price action has shown some upside momentum on the hourly charts
- GMMA indicator has turned bullish on the hourly charts
Major Support and Resistance Levels:
Support - 0.6323 (55-EMA), Resistance - 0.6367 (200H MA)
Summary: NZD/USD poised to break consolidation. Decisive break above cloud and 55-EMA will add to the upside bias. Scope for test of 21-EMA at 0.6377.
