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FxWirePro: NZD/USD consolidating around 0.5935, room for further gains

• NZD/USD steadied on Wednesday  as optimism for a de-escalation in US-China trade tensions and softer dollar supported kiwi dollar .

• US dollar dipped as cooler-than-expected U.S. consumer inflation data bolstering the case for Federal Reserve easing.

• Data from Labor Department showed the US consumer price index increased 0.2% last month, below expectations of economists.

• Investor attention now  turns to the trade deal’s specifics and what happens after the 90-day truce.

• At GMT 06:21, the New Zealand dollar was up 0.02% to 0.5935 against the   dollar.

•  Immediate resistance is located at 0.5944(38.2%fib), any close above will push the pair towards 0.6039 (23.6%fib).

•  Support is seen at 0.5866 (50%fib) and break below could take the pair towards 0.5817(April 14th low).

 Recommendation: Good to buy around 0.5920 with stop loss of 0.5850 and target price of 0.6000

 

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