- NZD/USD attempts feeble recovery from fresh 6-month lows at 0.6862.
- The pair was rejected at 0.69 handle, retraces gains to currently trade around 0.6889.
- Overall momentum in the pair remains negative, upbeat quarterly New Zealand GDP print seems to have little impact.
- Hammer formation at lows, slight bullish divergence noted on RSI.
- 5-DMA currently at 0.6897 weighs on the upside, break above needed for further gains.
- Support levels - 0.6862 (Dec 23 low), 0.6800 (trendline support), 0.6770 (Apr 8 low)
- Resistance levels - 0.6897 (5-DMA), 0.6916 (50% Fib of 0.63470 to 0.74854 rally), 0.6947 (Dec 12 high), 0.70, 0.7054 (20-DMA)
Recommendation: We prefer to wait for further confirmation on technicals to initiate trade.
FxWirePro's Hourly NZD Spot Index was at -27.3322 (Neutral), while Hourly USD Spot Index was at 31.4713 (Neutral) at 0500 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex


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