- OMF (based on The New Zealand Herald)
On Friday, the New Zealand Dollar edged up on the weaker Greenback. The resistance trend-line was pierced, as the NZD/USD pair gained 60 pips. Moreover, the pair even probed the monthly R1, before the end of the trading session. Today, the technical studies are mainly mixed, while further rally is expected. The Kiwi is facing a new resistance cluster around 0.7685, which should prevent any substantial rise. However, if the US fundamentals disappoint once again, the currency might easily overcome 0.77.
Market sentiment remains bearish, but a bit weaker than yesterday, as 72% of positions are short (previously 74%). Meanwhile, the number of buy orders increased from 26 to 44%.