NZD/USD chart - Trading View
NZD/USD was trading 0.28% higher on the day at 0.7181 at around 08:15 GMT, consolidates previous session's weakness.
Price action has slipped below 55-EMA which is capping recovery attempts, scope for downside.
US-China jitters adds to the risk-off mood as Asian markets slip lower amid concerns over reflation.
US/China talks started out on a sour note with US Secretary of State Antony Blinken vowing to raise concerns about recent cyber attacks, the treatment of Muslim minorities in Xinjiang and Beijing’s increasing control over Hong Kong.
Chinese State Councilor Yang Jiechi replied by saying that Western nations don’t represent global public opinion and called the US the “champion” of cyber-attacks.
The major has been grinding higher in a rising channel pattern and is currently testing support at channel base.
U.S. dollar weakness is preventing further weakness in the pair. Breach below channel base and daily cloud will plummet prices.
