Skip to content
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.



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

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
NZD/USD Technical Analysis: NZ Dollar Rebound Gathering Steam?

NZD/USD Technical Analysis: NZ Dollar Rebound Gathering Steam?

Ilya Spivak, Head Strategist, APAC


  • New Zealand Dollar on the upswing from 11-year low
  • Scope for upside follow-through still unclear for now
  • Trader positioning offering mixed near-term signals

The New Zealand Dollar is attempting to reclaim some lost ground against its US counterpart after sliding to an 11-year low and finding interim support above the 0.56 figure. Immediate support-turned-resistance is at 0.5919, the 61.8% Fibonacci expansion.

A daily close above this barrier exposes the 50% level at 0.6078. Overturning the near-term bearish bias seems like it will require a grander feat however. That calls for breaking trend line resistance guiding the descent since the beginning of the year, which now implies a push toward the 0.63 mark.

New Zealand Dollar vs US Dollar price chart - daily

NZD/USD daily chart created using TradingView

The four-hour chart reveals NZD/USD has broken resistance guiding them lower for the past two weeks, seemingly setting the stage for upside follow-through. Immediate range resistance clustered near the 0.59 figure remains intact however, so what follows may yet be no more than sideways digestion.

New Zealand Dollar vs US Dollar price chart - 4 hour

NZD/USD 4-hour chart created using TradingView

Building Confidence in Trading
Building Confidence in Trading
Recommended by Ilya Spivak
Building Confidence in Trading
Get My Guide


New Zealand Dollar vs US Dollar price, trader sentiment

Retail sentiment data shows 65.57% of traders are net-long, with the long-to-short ratio at 1.90 to 1. IG Client Sentiment(IGCS) is typically used as a contrarian indicator, soretail traders being net-long suggests NZD/USD may continue to fall.

However, the number of traders net-long is 5.66% lower from last week while the net-short exposure is up 9.38% over the same period. That makes for a mixed sentiment-based outlook, undercutting conviction in the bearish bias implied in overall positioning.

See the full IGCS sentiment report here.

How to Use IG Client Sentiment in Your Trading
How to Use IG Client Sentiment in Your Trading
Recommended by Ilya Spivak
Improve your trading with IG Client Sentiment Data
Get My Guide


--- Written by Ilya Spivak, Currency Strategist for

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.