FxWirePro: NZD/USD holds 21-EMA support, kiwi marginally bid on upbeat trade data

NZD/USD chart - Trading View

NZD/USD is extending marginal gains on the day on upbeat New Zealand trade data.

Data released by Statistics NZ earlier today showed New Zealand’s May month Trade Deficit shrank to NZD1.33 billion compared to April month’s NZD-2.441 billion.

The pair was trading 0.32% higher on the day at 0.6429 at around 10:35 GMT, erasing part of the previous session's losses.

Price action has bounced off 21-EMA support raising scope of upside resumption. Price action is above 200-DMA and major trend is bullish.

However, risk-negative catalysts (Earthquake in New Zealand, coronavirus concerns, trade tensions) keep upside limited.

5-DMA is capping upside at 0.6442. Weakness seen on the intraday charts. Break below 21-EMA will see dip till 200-DMA at 0.6319.

Retrace above 200H SMA (0.6450) and clear break above 5-DMA will negate bearish bias. 

Major Support: 0.6319 (200-DMA)

Major Resistance: 0.6480 (78.6% Fib)