• NZD/USD edged lower on Tuesday as global trade uncertainties weighed on investor sentiment.
• The ongoing trade tensions, particularly between major economies, have created an atmosphere of caution in the markets, leading to a pullback in risk-sensitive assets like the New Zealand dollar.
• U.S. Treasury Secretary Scott Bessent said on Monday that several key trading partners made strong proposals to avoid tariffs, with India likely to finalize a deal first.
• Bessent noted that China’s decision to exempt certain U.S. goods from retaliatory tariffs signals a willingness to ease trade tensions.
•Meanwhile, investors awaited a week of U.S. economic reports that could shed light on the effects of Trump's trade war.
• At GMT 05: 38, The New Zealand's dollar was last trading down 0. 47% to $0.5950
• Immediate resistance is located at 0.5986 (Daily high), any close above will push the pair towards 0.6016 (23.6%fib).
• Support is seen at 0.5922 (38.2%fib) and break below could take the pair towards 0.5856(50%fib).
Recommendation: Good to buy around 0.5940 with stop loss of 0.5860 and target price of 0.6040
