- David Jones, former Fed economist (based on The New Zealand Herald)
The Kiwi slightly underperformed yesterday, as it was unable to reach the immediate support, namely the Aug 2010 low. Ultimately, the NZD/USD closed trade at 0.6981, but leaving the door open for another slump today. The August 2014 low is expected to be taken today, whereas the Bollinger band and the monthly S1 provide stronger support. There is also a possibility of the NZ Dollar even falling to the weekly S1 at 0.6876 if the fundamentals boost the US currency. Technical indicators, however, retain mixed signals.
Less traders have a positive outlook towards the Kiwi today, as only 41% of them hold long positions. The number of commands to purchase the NZ currency, however, inched up from 47 to 67%.