NZDUSD Analysis
| Performance after Wednesday | |||
| Period | Pct | Chg | Momentum |
| Wednesday | 0.62% | 36.0 Pips | ▲ |
| Week to-date | 0.9% | 52.0 Pips | ▲ |
| July | 2.38% | 135.0 Pips | ▲ |
Upcoming key events (GMT+8)
| Time (GMT+8) | Currency | Impact | Event |
| Thu 08:30 PM | USD | HIGH | Monthly Retail Trade (1-mth) |
| Fri 10:00 PM | USD | HIGH | Index of Consumer Sentiment |
What happened lately
The NZDUSD currency pair experienced an upward movement on Wednesday, rising by 0.62% to close at 0.58470. The trading session saw the pair reach a high of 0.58630 and a low of 0.58030.
In the previous trading day, the U.S. Producer Price Index (PPI) excluding Food and Energy sectors was released, showing a year-over-year increase of 4.7%. This figure came in below the consensus expectation of 5.2% but slightly above the previous reading of 4.6%. The lower-than-expected PPI data may have contributed to some weakness in the U.S. dollar, providing support for the NZDUSD pair.
Looking ahead, market participants are likely to focus on upcoming U.S. economic data releases. On Thursday at 8:30 PM GMT+8, the Monthly Retail Trade figures will be announced, followed by the Index of Consumer Sentiment on Friday at 10:00 PM GMT+8. Both events are expected to have a high impact on the market, potentially influencing the direction of the NZDUSD pair.
Overall, the recent price action in the NZDUSD reflects a modest gain, possibly influenced by the softer-than-expected U.S. PPI data. Market sentiment remains cautious as traders await further economic indicators that could provide additional insights into the U.S. economic outlook and its implications for currency markets.
What can we expect from NZDUSD today?
The NZDUSD pair is showing a bullish daily outlook, with a recent close at 0.58470, marking a 0.62% increase. The pair’s performance aligns with a broader weekly bullish trend, currently up 0.9% for the week.
📈 Bull Scenario If the NZDUSD continues its upward momentum, a break above the daily high of 0.58630 could trigger further bullish activity. Traders should watch for resistance at R1, 0.58723, and potentially R2, 0.58977, if the bullish sentiment strengthens. The pair’s position above the 9-day EMA and rising stochastic indicator support this scenario. | 📉 Bear Scenario Conversely, a reversal could occur if the NZDUSD falls below the daily pivot point of 0.58377. In this bearish scenario, the first support level to monitor is S1 at 0.58123, with further downside potential towards S2 at 0.57777. A decline in momentum could be signaled if the pair fails to maintain its position above the 9-day EMA. |
Key levels to watch out:
| R3 | 0.59323 |
| R2 | 0.58977 |
| R1 | 0.58723 |
| Daily Pivot | 0.58377 |
| S1 | 0.58123 |
| S2 | 0.57777 |
| S3 | 0.57523 |