Forex: NZD/USD capped below 0.8450 (Barcelona) - NZD/USD is currently rallying to fresh session highs at 0.8428 on the back of broadly USD weakness, as more rumors are circulating around the up coming US debt ceiling, with latest being Bloomberg quoting the US Treasury saying there is “nearing statutory debt ceiling.” The pair is up +0.73% for the week so far, with weekly highs around 0.8442 set on Monday.

With no domestic news ahead, and Nikkei index opening below the 10800 points mark, losing at the moment -0.98%, Westpac analysts believe a minor correction should still persist, finding support around the 0.8335 levels, Dow Jones reported. NZD/USD has gained so far +1.65% in 2013.

Immediate resistance for NZD/USD to the upside shows at recent session highs 0.8430, followed by Monday's highs 0.8442, and Dec highs at 0.8476. To the downside, nearest term support lies at Jan 09 highs 0.8409, followed by Jan 08 highs/recent session lows at 0.8380, and Jan 08 lows at 0.8332.