• NZD/USD extended losses on Wednesday as the greenback strengthened ahead of Friday’s August nonfarm payrolls report.
• Markets await key U.S. August data this week, including ISM services PMI and nonfarm payrolls, to assess the impact of Trump’s policies on industry and jobs.
• The data will give investors and the Fed a clearer view of the labor market, potentially shaping expectations for a rate cut this month.
•Traders are currently pricing in an 87% chance the Fed will ease rates by 25 basis points later this month, according to the CME FedWatch tool.
• Immediate resistance is located at 0.5896(SMA 20), any close above will push the pair towards 0.5915(38.2%fib).
• Support is seen at 0.5814(61.8%fib)and break below could take the pair towards 0.5784(Lower BB).
Recommendation: Good to sell around 0.5860 with stop loss of 0.5920 and target price of 0.5800
