NZD/USD headed for a break to 0.7237 and 13th Dec high

 Currently, NZD/USD is trading at 0.7224 having posted a daily high at 0.7233 and low at 0.7220.

NZD/USD broke out with some dollar weakness at the end of the US session and rallied to the 200 smoothed sma on the hourly sticks attacking the downward correction of the Dec-Feb rally has stalled around the 0.7200 area. Neutral today. The calendar is light domestically but the Aussie could be a driver with the jobs data coming up in the session Overnight, Yellen and strong US data supported higher yields again and a strong dollar. 

Wall Street up for a five-day record streak.

NZD/USD 1-3 month:  

Analysts at Westpac suggested that the month ahead could see NZD/USD extending beyond 0.7500 (Sep high) if the US dollar continues to register disappointment in the Trump Administration’s policies. "Further ahead, though, the Fed’s tightening cycle plus US fiscal expansion should maintain upside pressure on US interest rates and the US dollar, pushing NZD/USD lower to 0.7000. Granted, the NZ economy is strong and dairy prices have risen, but these forces are subservient to the US dollar’s trend."

NZD/USD levels

NZD/USD broke up through the 50 sma on the hourly time frame breaking yesterday's rising channel's resistance until meeting the aforementioned 200 smoothed ma on the same tie frame at 0.7229 currently. A break of 0.7237 and 13th Dec highs opens a case for a full recovery back to the 2017 highs a 0.7374. To the downside, the 50-d sma is located at 0.7113.

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 securities. 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 Forex 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.