- Commonwealth Bank of Australia (based on Bloomberg)
The New Zealand Dollar depreciated against the US Dollar at the start of the week to the level of 0.6995. At that level, the currency exchange rate came close to the support provided by the monthly R1, and the Kiwi did not fell below it against the Greenback. Instead the pair rebounded and even broke the resistance put up by the weekly PP at 0.7033. At the moment the rate is fluctuating just above the weekly PP at the level of 0.7045. In the meantime, the exchange rate has been in a channel up pattern since start of July 2015, and it is close to reaching the pattern's upper trend line at 0.7117, as there are no more resistances on the way up.
SWFX traders are bearish on the pair, as 54% of them hold short positions. Pending orders in the 100-pip range are 59% to sell the NZD.