FxWirePro: NZD/USD gaining momentum for a move towards 0.6100 level

• NZD/USD edged higher on Thursday  as   kiwi dollar was   driven  by stronger-than-expected Chinese services PMI readings

•Data showed, China’s services activity expanded slightly faster in May, with the Caixin/S&P Global services PMI rising to 51.1 from 50.7, remaining in expansion territory.

•New Zealand is a major exporter of commodities and services to China, any indication that Chinese domestic demand is firming tends to boost confidence in New Zealand’s export outlook, which in turn supports the Kiwi dollar.

• Investors are eyeing Friday’s payrolls data to assess the labour market, after ADP reported a smaller-than-expected rise in U.S. private jobs for May.

• The  employment  report is expected to show non-farm payrolls rose by 130,000 jobs in May, down from 177,000 in April, with the unemployment rate steady at 4.2%.

•  Immediate resistance is located at 0.6052(23.6%fib), any close above will push the pair towards 0.6077 (Higher BB).

•  Support is seen at 0.6000 (Psychological level) and break below could take the pair towards 0.5963(38.2%fib).

 Recommendation: Good to buy around 0.5980 with stop loss of 0.5850 and target price of 0.6100