FxWirePro: NZD/USD drops below 0.5600 level, heads deeper into bear territory

• NZD/USD slipped towards two year low on Thursday as the US dollar strengthened following hawkish Federal Reserve meeting minutes.

• The minutes from the Federal Reserve's last meeting showed policymakers noted higher inflation and potential trade and immigration policy changes, suggesting easing could take longer than expected.

•U.S. services sector activity also accelerated in December.The Institute for Supply Management's non-manufacturing purchasing managers index (PMI) increased to 54.1 last month from 52.1 in November.

• The market now awaits U.S. jobs report on Friday for more cues on the Fed's policy path.

• At (GMT 06:34) Kiwi dollar was trading at down  0.24% to 0.5596 against the U.S. dollar.  

•  Immediate resistance is located at 0.5627(50%fib), any close above will push the pair towards 0.5668(61.8%fib).

•Support is seen at 0.5592 (38.2%fib) and break below could take the pair towards 0.5543(23.6%fib).

 Recommendation: Good to sell around 0.5600 with stop loss of 0.5650 and target price of 0.5530