FxWirePro: NZD/USD holds support at 200-DMA, further weakness only on break below

NZD/USD chart - Trading View 

Spot Analysis: 08:35 GMT 

Spot: 0.7135

Session's High/ Low: 0.7139/ 0.7103

Previous Week's High/ Low: 0.7216/ 0.7130

Previous Session's High/ Low: 0.7186/ 0.7092

Technical Analysis:

- NZD/USD has bounced off strong support at 200-DMA

- 5-DMA has turned, price action is below 200H MA

- Stochs are on verge of bearish rollover from overbought levels

- MACD is on verge of bearish crossover on signal line

Fundamental Overview:

NZ Q3 Employment Change provided a strong beat to the 0.4% expected and 1.0% prior with the 2.0% figures 

NZ Unemployment Change also dropped heavily past 4.0% previous readouts and 3.9% market consensus to 3.4% during the stated period.

Further, New Zealand’s fortnightly release of the GDT Price Index jumped 4.3% versus 2.2% prior.

Focus now on the the US Federal Reserve’s (Fed) monetary policy announcement amid tapering tantrums due 1800 GMT for impetus. 

The Fed is widely expected to announce a reduction of $15 billion in monthly asset purchases while keeping the policy rate unchanged. 

Investors will keep a close eye on the Fed's language regarding the rate outlook and inflation expectations.

Major Support and Resistance Levels:

Support - 0.7097 (200-DMA), Resistance - 0.7157 (5-DMA)

Summary: NZD/USD bias remains bullish as long as pair holds above 200-DMA. Focus on FOMC for impetus.