NZD/USD bears guard a 61.8% Fibo retracement


  • The market has now digested the Fed and technical could come back into play.
  • NZD/USD bears stepped in on a daily basis and will be looking for a downside extension from here.

NZD/USD was ending on Wall Street a touch higher, +0.30%, and had moved up from a low of 0.6995 to score a fresh corrective high of 0.7069.

''Trading ranges remain tight and that strength should not be over-emphasised given the overall underperformance seen over the past month'' analysts at ANZ Bank, however, warned.

Speeches from more Federal Reserve members were the focus in the absence of domestic and in vogue US data, other than  US Composite PMI which dropped to 63.9 in June, from 68.7 previously.

For the day ahead, there is still no top-tier data out in New Zealand.  

nevertheless, analysts at ANZ Bank argued that NZ’s outperforming economy will deliver more NZD strength on balance.

''However, in the short term, the Wellington COVID scare is a grey cloud, and it seems the question of whether things escalate will come down to old-fashioned luck.''

NZD/USD technical analysis

The bears will be looking for a downside extension while below the April-late June structure between 0.71.21/64 given the recently marked lower daily low and correction that has so far failed at the 61.8% Fibonacci retracement level. 

 

Overview
Today last price 0.704
Today Daily Change 0.0013
Today Daily Change % 0.19
Today daily open 0.7027
 
Trends
Daily SMA20 0.7159
Daily SMA50 0.7186
Daily SMA100 0.7173
Daily SMA200 0.7043
 
Levels
Previous Daily High 0.7037
Previous Daily Low 0.6963
Previous Weekly High 0.7161
Previous Weekly Low 0.6923
Previous Monthly High 0.7317
Previous Monthly Low 0.7115
Daily Fibonacci 38.2% 0.7009
Daily Fibonacci 61.8% 0.6991
Daily Pivot Point S1 0.6981
Daily Pivot Point S2 0.6935
Daily Pivot Point S3 0.6907
Daily Pivot Point R1 0.7055
Daily Pivot Point R2 0.7083
Daily Pivot Point R3 0.7129

 

 

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