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FxWirePro: NZD/ USD bulls loosen their grip a bit, dips to be bought

• NZD/USD eased   on Tuesday  as U.S. dollar firmed following hawkish comments from Federal Reserve Chair Jerome Powell.

• Fed Chair Powell hinted on Monday that the US central bank will likely focus on quarter-point decreases in the coming months, as new data bolstered confidence in economic growth and consumer spending.

• The kiwi dollar was down 0.20% at $0.6335 retreating from daily high 0.6350.

• The technical outlook remains bullish and points to eventual bigger gains, Fourteen-day momentum is positive, reinforcing the scope for a bigger gains  .

• Immediate resistance is located at 0.6375(Sep 30th high), any close above will push the pair towards .6375 (23.6%fib).

• Support is seen at 0.6320 (38.2%fib) and break below could take the pair towards 0.6299(5SMA).

Recommendation: Good to buy around 0.6320 with stop loss of 0.6260 and target price of 0.6430

 

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