NZD/JPY Price Analysis: New Zealand CPI helps it to pierce weekly falling trendline
|- NZD/JPY trades near two-day high after New Zealand’s Q4 CPI rose beyond expectations.
- The pair now heads to 200-hour SMA.
- 23.6% of Fibonacci retracement can offer immediate support.
NZD/JPY takes the bids to 72.50 during early Friday morning in Asia. In doing so, the pair crosses a one-week-old falling resistance line. The buyers seem to cheer upbeat data from New Zealand while portraying the recent run-up.
Read: Breaking: New Zealand Q4 CPI: YoY 1.9% / QoQ 0.5% (NZD bullish)
A 200-hour SMA level of 72.72 is a nearby upside barrier that the bulls are currently targeting. Though, 61.8% Fibonacci retracement of the pair’s declines from January 16 to 23, at 72.80, could restrict the pair’s further advances.
In a case where the NZD/JPY prices rally beyond 72.80, 73.00 can offer an intermediate halt to the rise targeting January 16 top surrounding 73.35.
Alternatively, pair’s downside break below 23.6% Fibonacci retracement level of 72.25 can recall Thursday’s low of 71.91 ahead of challenging the monthly bottom near 71.25.
NZD/JPY hourly chart
Trend: Bullish
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.