- NZD/USD gains ground despite downbeat trade data from New Zealand.
- Technical indicators suggest bullish sentiment to revisit a five-month high at 0.6251.
- The psychological level at 0.6200 could act as key support followed by the nine-day EMA at 0.6186.
NZD/USD continues its winning streak that began on December 11 despite disappointing trade figures from New Zealand. The NZD/USD rises around 0.6230 during the European hours on Tuesday.
The Trade Balance NZD (MoM) data for November, as reported by Statistics New Zealand, revealed a trade deficit of $1,234 million, slightly higher than the expected deficit of $1,200 million. On a year-on-year basis, the deficit stood at $13.87 billion, less than the anticipated deficit of $14.82 billion.
The 14-day Relative Strength Index (RSI) is above the 50 level, signaling a bullish sentiment. This suggests that the NZD/USD pair could potentially retest the 0.6250 major level, in line with the five-month high at 0.6251. If the pair manages to break through this resistance area, it may find support to explore the psychological region near 0.6300.
Additionally, the positive positioning of the Moving Average Convergence Divergence (MACD) line above both the centerline and the signal line could serve as confirmation of bullish momentum in the market.
On the downside, a break below the psychological support level of 0.6200 could push the NZD/USD pair to fall to the area near the nine-day Exponential Moving Average (EMA) at 0.6186 level followed by the 23.6% Fibonacci retracement at 0.6165 before the major support at 0.6150.
NZD/USD: Daily Chart:
-638385706208431720.png)
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
GBP/USD hovers around 1.2750 on UK election day
GBP/USD extends its sideways grind near 1.2750 in the American session on Thursday. A broadly softer US Dollar keeps the pair afloat but traders refrain from placing fresh bets on the Pound Sterling while awaiting exit polls of UK election.
EUR/USD holds steady near 1.0800 after ECB Accounts
EUR/USD continues to fluctuate in a tight range near 1.0800 in the second half of the day on Thursday. The accounts of the ECB's June policy meeting fail to influence the Euro's valuation as trading conditions remain thin, with US markets remaining closed on Independence Day.
Gold consolidates weekly gains ahead of US NFP
Gold struggles to build on Wednesday's gains and trades in a narrow band above $2,350. Sustained US Dollar weakness alongside sluggish US Treasury bond yields help XAU/USD limit its losses ahead of Friday's key June jobs report from the US.
Crypto Today: Bitcoin crumbles under German government transfers, Ethereum and Ripple erase gains
Bitcoin trades below $57,100 on Thursday as German government transfers continue, $76 million BTC moved to exchanges. Ethereum trades near $3,100 ahead of the upcoming SEC decision on the Spot Ethereum ETF.
Investors await NFP to validate their Fed rate cut bets
Investors expect two rate cuts, even though Fed signals one. Recent data corroborates investors’ take. Nonfarm Payrolls waited for more confirmation.