NZD/USD retakes the 0.68 handle as commodity currencies are being supported by sharp rise in oil. With the US dollar still on the back foot the risks for NZD/USD remain to the upside. US growth estimates for Q1 have been…
NZD/USD retakes the 0.68 handle as commodity currencies are being supported by sharp rise in oil.
With the US dollar still on the back foot the risks for NZD/USD remain to the upside.
US growth estimates for Q1 have been slashed (to 0.1% y/y by the Atlanta Fed) and markets give a June hike only a 20% chance.
NZ data calendar has nothing major this week, with electronic retail spending and REINZ house sales and prices (Mon), Wed sees food prices, and Thu has manufacturing PMI.
Pair currently trades around day's highs at 0.6820, next immediate resistance is seen at 0.6830 (Apr 4th highs).
5-DMA at 0.6803 is immediate support on the downside ahead of 0.6783 (Mar 18th lows) and then 0.6780 (Dec 24th lows).
Momentum studies for now are neutral, weakness only below 0.6760.
