- Mixed market sentiment doesn't allow NZD to gather strength.
- US Dollar Index stays above 99 handle on Friday.
- Coming up: Retail Sales, Industrial Production data from US.
After rising toward the 0.6500 handle on the back of the Reserve Bank of New Zealand's hawkish policy outlook on Wednesday, the NZD/USD pair lost its traction and registered small losses on Thursday. With the market action turning subdued ahead of key data releases from the US, the pair is moving sideways below near 0.6440.
The only data from New Zealand on Friday revealed that the Food Price Index in January rose 2.1% following Decembers decline of 0.2% but was largely ignored by the market participants. In the meantime, China’s National Health Commission (NHC) announced that the total number of coronavirus infections rose to 63,851 as of Friday morning to make it hard for the China-proxy NZD to find demand.
Eyes on US data
On the other hand, the US Dollar Index, which advanced to its highest level since early October at 99.16, seems to be consolidating its gains ahead of key data releases from the US and helping the pair limit its downside for the time being. As of writing, the index was down 0.04% on the day at 99.06.
Retail Sales, Industrial Production and the University of Michigan's Consumer Confidence Index will be featured in the US economic docket on Friday. Industrial Production is expected to decline by 0.2% in January and a better-than-expected reading could provide a boost to the greenback.
Technical levels to watch for
|Today last price||0.6435|
|Today Daily Change||-0.0007|
|Today Daily Change %||-0.11|
|Today daily open||0.6442|
|Previous Daily High||0.647|
|Previous Daily Low||0.6428|
|Previous Weekly High||0.6504|
|Previous Weekly Low||0.6397|
|Previous Monthly High||0.6741|
|Previous Monthly Low||0.6453|
|Daily Fibonacci 38.2%||0.6444|
|Daily Fibonacci 61.8%||0.6454|
|Daily Pivot Point S1||0.6423|
|Daily Pivot Point S2||0.6404|
|Daily Pivot Point S3||0.638|
|Daily Pivot Point R1||0.6465|
|Daily Pivot Point R2||0.6489|
|Daily Pivot Point R3||0.6508|
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.