NZD/USD consolidates Tuesday's gains, trades above 0.65 ahead of key events

  • The FOMC is expected to keep its policy rate unchanged on Wednesday.
  • US Dollar Index posts small daily losses, sits above 97.50.
  • Statistics New Zealand will release the first quarter GDP data.

After adding 40 pips and closing the day at 0.6535, the NZD/USD has gone into a consolidation phase as investors moving to the sidelines ahead of key events of the day. As of writing, the pair was posting small daily losses at 0.6525.

The greenback, which took advantage of the selling pressure surrounding the euro, gathered strength against its rivals on Tuesday and the US Dollar Index advanced to its highest level in two weeks at 97.77. The dollar's next move is very likely to be triggered by the FOMC statement and Chairman Powell's remarks later today. At the moment, the DXY is down 0.06% on a daily basis at 97.58.

Previewing this event, “We expect clear signals of rate cuts ahead at Chair Powell’s press conference and expect the dot plot to support that message," Nordea Markets analysts said. “We changed our Fed forecast and now expect four rate cuts starting in July, though the Fed is not anywhere near that dovish yet.”

FOMC Preview: What 14 major banks are expecting from June meeting?

On the other hand, in the early trading hours of the Asian session on Wednesday, the Statistics New Zealand will release the first-quarter Gross Domestic Product (GDP) figures, which is expected to show a 2.4% growth on a yearly basis following the 2.3% reading in the last quarter of 2018.

Technical levels to consider


Today last price 0.6526
Today Daily Change -0.0003
Today Daily Change % -0.05
Today daily open 0.6529
Daily SMA20 0.6559
Daily SMA50 0.6605
Daily SMA100 0.6715
Daily SMA200 0.671
Previous Daily High 0.6538
Previous Daily Low 0.649
Previous Weekly High 0.6666
Previous Weekly Low 0.6487
Previous Monthly High 0.6684
Previous Monthly Low 0.6481
Daily Fibonacci 38.2% 0.652
Daily Fibonacci 61.8% 0.6508
Daily Pivot Point S1 0.65
Daily Pivot Point S2 0.6471
Daily Pivot Point S3 0.6452
Daily Pivot Point R1 0.6548
Daily Pivot Point R2 0.6567
Daily Pivot Point R3 0.6596



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.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD extends losses toward 1.1250 amid coronavirus concerns

EUR/USD is trading closer to 1.1250 as concerns about US coronavirus cases are growing. Eurozone finance ministers are meeting ahead of next week's summit.  US PPI and updated COVID-19 statistics are awaited.


GBP/USD pressured under 1.26 amid risk-off mood, Brexit uncertainty

GBP/USD is trading below 1.26, off the highs. Rising US coronavirus cases are pushing markets lower and the safe-haven dollar higher. Concerns about Brexit and the UK refusal to participate in the EU coronavirus vaccine scheme are weighing on sterling. 


Gold refreshes session tops, moves back above $1800 mark

The prevalent risk-off mood assisted gold to reverse an early dip to the $1796 region. A modest pickup in the USD demand might cap any further gains for the commodity. Investors also worried about the possibility of further escalation of Sino-US tensions.

Gold News

Canada Net Change in Employment June Preview: June is looking better and better

Job gains expected to more than double in June. Unemployment rate to drop to 12% from 13.7 in May. Ivey PMI was twice its forecast in June, highest since Nov 2019. USD/CAD would benefit from better June job figures.

Read more

WTI drops to fresh weekly lows below $39 amid virus risks, IEA forecast

WTI (August futures on Nymex) extends the steep declines seen on Thursday to drops over 1.50% in the European session this Friday. The oil bears breach the 39 level to hit the lowest levels in eight days at 38.76.

Oil News