• NZD/USD edged lower on Wednesday as greenback firmed ahead of minutes from the Federal Reserve’s latest meeting for clues on the outlook for monetary policy.
• The Federal Reserve will release minutes from its September 15-16 policy meeting on Wednesday, with markets looking for clues on future rate moves.
• Investors scaled back bets on US rate hikes after a weak jobs report and calls from policymakers for more evidence before further tightening.
• The probability of a 25-basis-point or larger Fed hike in October has fallen to 20.5% from about 51% a week earlier, though markets still see an 84.5% chance of a December increase.
• Immediate resistance is located at 0.5621 (38.2%fib), any close above will push the pair towards 0.5631(Higher BB).
• Support is seen at 0.5605 (Daily low) and break below could take the pair towards 0.5581(23.6%fib).
Recommendation: Good to sell around 0.5620 with stop loss of 0.5720 and target price of 0.5530
