- NZ retail sales, a key component of the GDP came in at 0.8% q/q, missing 1.1% expected. The prior was also revised lower to +0.8% from +0.9%.
- New Zealand Business NZ PMI dipped from previous 54.5 to 51.6 in February.
- NZD/USD slumped to test 0.72 handle, but has recovered to currently trade at 0.7217.
- Break below 5-DMA could see weakness upto next major support at 0.7132 (100-DMA)
Support levels - 0.72 (5-DMA), 0.7179 (38.2% Fib retrace of 0.6862 to 0.7375 rise), 0.7132 (100-DMA)
Resistance levels - 0.7251 (20-DMA), 0.7254 (23.6% Fib retrace of 0.6862 to 0.7375 rise), 0.7265 (Feb 9th high)
TIME TREND INDEX OB/OS INDEX
1H Neutral Neutral
4H Bearish Neutral
1D Neutral Neutral
1W Bullish Neutral
Call update: We had advised a long in our previous call (http://www.econotimes.com/FxWirePro-NZD-USD-bounces-off-100-DMA-support-good-to-go-long-on-dips-543085).
Recommendation: Trade with strict stop loss. Hold for upside.
FxWirePro Currency Strength Index: FxWirePro's Hourly NZD Spot Index was at -27.3494 (Neutral), while Hourly USD Spot Index was at -127.601 (Highly Bearish) at 0200 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
