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.

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
EUR/USD
Bearish
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Mixed
Gold
Bullish
GBP/USD
Mixed
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • S&P 500 Price Forecast: SPX Tests Huge Zone at Bull Flag Support https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/daily_fundamentals/2020/10/27/SPX-SPY-ES-Price-Forecast-SPX-Tests-Huge-Zone-at-Bull-Flag-Support.html $SPX $SPY $ES https://t.co/Pu2IgKdY5E
  • ....also, the outlook with a third peak in Covid cases in the US - and spread globally - is going to seriously undermine the sustainability of growth
  • A lot is being made of how remarkable the forecasted 31% increase in US GDP for 3Q would be if we hit the number Thursday, but remember the context. We are coming off a -31.4% plunge. You need an even bigger recovery to get back up to pace starting from a hole https://t.co/oBJKnOVgqu
  • is possible that USD/CAD is trying to carve a higher-low from the September 1 low, but some more work is needed to turn the near-term favorable for taking long-side bets. Get your $USDCAD technical analysis from @PaulRobinsonFX here:https://t.co/qNZxsbcXZO https://t.co/tZbYH8fG2h
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.79%, while traders in EUR/USD are at opposite extremes with 70.03%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/zsLSaHzzOv
  • Heads Up:🇩🇪 Bundesbank Balz Speech due at 17:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-10-27
  • The blue-chip Dow ($DJIA) is coming up on a six-month trendline support close to the 50-day moving average. Overlay here is $CAT who reported a 54% drop in earnings https://t.co/T5Oj8rVQg9
  • Commodities Update: As of 16:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 2.64% Silver: 0.72% Gold: 0.33% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/laWDJf4nqF
  • Forex Update: As of 16:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.61% 🇨🇦CAD: 0.44% 🇯🇵JPY: 0.39% 🇦🇺AUD: 0.29% 🇪🇺EUR: 0.20% 🇨🇭CHF: 0.16% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/0kZ2RALYDe
  • #Bitcoin Breakout. . . $BTCUSD Daily Chart (log) https://t.co/Odz4b39q0V
NZD/USD Technical Analysis: Will the Kiwi Dollar Keep Falling?

NZD/USD Technical Analysis: Will the Kiwi Dollar Keep Falling?

2020-01-08 02:00:00
Ilya Spivak, Head Strategist, APAC
Share:

NZD/USD Technical ANALYSIS: BEARISH

  • NZ Dollar breaks monthly trend support after rejection at key resistance
  • Short-term chart positioning warns sellers may struggle to follow through
  • Overall trend bias still bearish absent recovery north of the 0.70 figure
Top Trading Opportunities in 2020
Top Trading Opportunities in 2020
Recommended by Ilya Spivak
Get Your Free Top Trading Opportunities Forecast
Get My Guide

The New Zealand Dollar extended lower as expected after putting in a Shooting Star candlestick at 2.5-year trend resistance and pushing through support guiding December’s month-long rally. Sellers are now flirting with minor resistance-turned-support at 0.6636. A daily close below that opens the door for a descent to challenge the dense 0.6425-96 support zone.

NZD/USD Technical Analysis: Will the Kiwi Dollar Keep Falling?

Daily NZD/USD chart created using TradingView

A look at the four-hour chart suggests immediate selling pressure may struggle for follow-through however. Positive RSI divergence has emerged on a test of upward-sloping support set from early December, pointing to ebbing bearish momentum. What follows next may be mere consolidation before liquidation resumes, but a bounce might also materialize.

NZD/USD Technical Analysis: Will the Kiwi Dollar Keep Falling?

4-hour NZD/USD chart created using TradingView

Initial resistance is at 0.6680, marked by January’s range top and reinforced by a falling trend line defining the descent from the December 31 high. A close above that would suggest near-term selling pressure has been neutralized. Upending the case for a long-term, structural decline will take more effort however. The monthly chart suggests that would require reclaiming a foothold near the 0.70 figure, above the 2018 high.

New Zealand Dollar vs US Dollar price chart - monthly

Monthly NZD/USD chart created using TradingView

NZD/USD MIXED
Data provided by
of clients are net long. of clients are net short.
Change in Longs Shorts OI
Daily 17% -2% 3%
Weekly 3% 68% 41%
What does it mean for price action?
Get My Guide

NZD/USD TRADING RESOURCES:

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

To contact Ilya, use the Comments section below or @IlyaSpivak on Twitter

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

DISCLOSURES