NZD/USD: consolidates below the 0.72 handle within bull trend

Ross J Burland FXStreet

Currently, NZD/USD is trading at 0.7170, down -0.01% on the day, having posted a daily high at 0.7177 and low at 0.7168.

NZD/USD 1 day: The US dollar's rebound overnight has slowed the NZD's rise, but with momentum still positive we'd expect another attempt above 0.7200 during the next few days.

NZD/USD is consolidating the correction from highs 0.7221 after dropping back below the 0.72 handle as markets stablised with renewed dollar strength on the back of the ECB's announcements and extensions of the QE programme. We are now light on data except for the Chinese CPI.

NZD/USD 1-3 month:

Analysts at Westpac explained that the US dollar has had an impressive rise since the US election and has potential to rise further during the months ahead, not least because the Fed will probably hike in December. Against that, the NZ economy is strong and dairy prices have risen. Overall we are left with a bearish outlook for NZD/USD, targeting sub-0.70.

NZD/USD levels

Spot is presently trading at 0.7172, and next resistance can be seen at 0.7173 (Weekly High), 0.7173 (Daily Open), 0.7177 (Daily High), 0.7179 (Hourly 20 EMA) and 0.7188 (Daily Classic R1). Next support to the downside can be found at 0.7168 (Daily Low), 0.7146 (Yesterday's Low), 0.7145 (Daily Classic PP), 0.7140 (Hourly 100 SMA) and 0.7121 (Daily Classic S1).

1 Week
1 Month
1 Quarter

1 Week

Avg Forecast 0.7084

12% Bullish
88% Bearish
0% Sideways

Bias Bearish

1 Month

Avg Forecast 0.6964

7% Bullish
64% Bearish
29% Sideways

Bias Bearish

1 Quarter

Avg Forecast 0.6909

6% Bullish
78% Bearish
17% Sideways

Bias Bearish

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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