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    NZD/USD struggles to overcome August high

    © Dukascopy Bank SA
    "The rebound in dairy prices (63% since the August low) and still strong migration and housing should keep the RBNZ on hold on 29 Oct. Moreover, NZD/USD is currently 7% below fair value implied by commodities, interest rates and risk sentiment, probably because the US dollar is overvalued."
    - Westpac (based on FXStreet) 


    Pair's Outlook 
    The NZD/USD currency pair managed to climb higher, as the 0.6650 point, namely the intersection of the 100-day SMA and the Bollinger brand, provided sufficient support to cause a rebound. Furthermore, the August high was tested, but kept the Kiwi away, due to being bolstered by the monthly R3 and the 0.67 psychological level. Technical studies imply that the NZ Dollar could overcome the two-month high if the cluster around 0.67 gives in. The second nearest resistance lies only at 0.6792, represented by the weekly R1, but the pair will doubtfully reach it due to lack of market movers. 

    Traders' Sentiment 
    Traders retain a bearish outlook towards the Kiwi with 68% of all positions being short. The share of buy orders slid from 54 to 41%.
    © Dukascopy Bank SA

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