NZD/USD fails to resist above 0.7300 ahead of US retail sales, NZ GDT

Dhwani Mehta FXStreet

The NZD/USD pair reverses half the Asian advance and falls back below 0.73 handle, as the US dollar extends the upside against its major peers.

NZD/USD back below 5-DMA at 0.7300

The Kiwi trims losses, although remains well bid amid improved market sentiment as North Korea risks fade. However, the bulls are seen defending the bid tone over the last hour amid a fresh bout of buying interest rate seen around the US dollar across the board, while rallying Treasury yields also dull the demand for the NZD as an alternative higher-yielding currency.

More so, the recent series of downbeat Chinese dataflow continues to outweigh solid NZ retail sales report-led optimism, keeping the upside in the spot limited.

China data dump: A big miss on expectations across all indicators

China's CPI m/m rebounds in July, but misses expectations

Later today, all eyes remain on the key US retail sales and NZ GDT price index for near-term trading opportunities.

NZD/USD Levels to consider

NZD/USD failed near 0.7318 (daily classic R1) levels, with 0.7281 (Aug 14 low) still guarding 0.7250 (multi-week lows) and a break back below 0.7200 (psychological levels) are key near-term downside areas. To the topside, a test of 0.7335/46 (10 & 50-DMA) due on the cards, which could open doors towards 0.7405 (20-DMA).

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

GBP/USD trims losses, approaches 1.3500

GBP/USD adds to the multi-day negative streak, although it has managed to bounce off earlier four-week lows near 1.3470 on Wednesday. Meanwhile, Cable’s deep correction comes despite the tepid performance in the Greenback and the persistent geopolitical concerns.

EUR/USD treads water just below 1.1600

EUR/USD now alternates gains with losses near the 1.1600 region following the closing bell in European markets on Wednesday. The pair has managed to rebound from earlier two-week lows around 1.1560 in tandem with the loss of momentum in the US Dollar.

Gold meets initial resistance near $4,400

Gold continues to regain ground lost and sets its target on the $4,400 mark per troy ounce on Wednesday. The yellow metal’s rebound comes amid modest losses in the US Dollar, steady geopolitical uncertainty and mixed US Treasury yields.

WTI advances to mid-$90.00s, fresh high since July 24 amid escalating US-Iran tensions

West Texas Intermediate (WTI) – the benchmark US Crude Oil price – scales higher for the third straight day – also marking the fifth day of a positive move in the previous six – and climbs to a fresh high since July 24 during the Asian session on Wednesday.

Crypto Today: Bitcoin, Ethereum, XRP edge lower as renewed US-Iran tensions weigh

The cryptocurrency market is pulling back broadly on Wednesday as investors adopt a cautious stance, with Bitcoin consolidating near its short-term support at $77,000. Ethereum remains under pressure, slipping toward $2,400. Ripple is also trending lower.

Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.