- TD Securities (based on FXStreet)
The NZD/USD currency pair remained relatively unchanged on Monday, edging only six pips higher, with volatility limited by the 100-day SMA from the upside. The same level keeps providing resistance around 0.6580 today, while a slowdown in the commodity sector keeps adding pressure on the New Zealand Dollar. Consequently, the pair is expected to post another decline over the day, with the immediate support in face of the Bollinger band doing little to stop the Kiwi from falling. Nevertheless, the NZ Dollar is likely to stabilise above the 0.65 major level.
Market sentiment improved, as 71% of traders are long the Kiwi (previously 67%). The share of buy orders inched up from 22 to 32%.