News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
NZD/USD Technical Analysis: 1-Month Low Hit Below 0.87

NZD/USD Technical Analysis: 1-Month Low Hit Below 0.87

Ilya Spivak, Head Strategist, APAC

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • NZD/USD Technical Strategy: Flat
  • Support: 0.8618, 0.8567, 0.8504
  • Resistance:0.8669, 0.8733, 0.8779-93

The New Zealand Dollar dropped for a third consecutive day against its US counterpart, sliding below the 0.87 figure to hit a one-month low. Sellers are aiming to challenge the 50% Fibonacci retracement at 0.8618, with a break below that on a daily closing basis exposing the 61.8% level at 0.8567. Alternatively, a reversal back above the 38.2% Fib at 0.8669 opens the door for a test of the 23.6% retracement at 0.8733.

We will tactically opt not to enter short. Next week brings the RBNZ monetary policy announcement, with markets pricing in an 84 percent probability of another interest rate hike. With that in mind, we will remain on the sidelines and look for a bounce to enter short rather than chase the pair lower at present.

Add these technical levels directly to your charts with our Support/Resistance Wizard app!

NZD/USD Technical Analysis: 1-Month Low Hit Below 0.87

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES