NZD/USD hung up on 0.6870 as Asia faces bearish tradewinds

The Kiwi's bearish opening gap remains minor, but telling about investors' expectations for the week.
Still-rising US-China trade tensions could see risk appetite hobbled for the remainder of 2018.

Joshua Gibson FXStreet

The NZD/USD pair is moving around the 0.6870 region in early Monday action after bearish headlines over the weekend hobbled buying sentiment to open up the new trading week.

The US reaffirmed its plans to increase tariff rates on China to 25% across the board, regardless of potential progression in trade talks at the upcoming G20 summit sideline meeting between US President Trump and China's Xi Jinping, and the standoff-ish stance by the US is sapping most of the bullish sentiment that managed to evolve in markets last week as investors grapple with a still-looming full-blown trade war.

It's a very thin week for the Kiwi on the economic calendar, though early Monday's PPI readings did manage to keep the NZD on-balance despite the day's small bearish opening gap, which as of yet remains unclosed. New Zealand's Input PPI for the 3rd quarter came in at 1.4% (last 1.0%), while the Output PPI also improved, coming in at 1.5% (last 0.9%), but with the NZD/USD's lack of readable datasets this week, broader market flows can be expected to resume whipping alongside headlines on trade and political tensions.

NZD/USD Technical Levels

NZD/USD

Overview:
    Last Price: 0.6871
    Daily change: -10 pips
    Daily change: -0.145%
    Daily Open: 0.6881
Trends:
    Daily SMA20: 0.6658
    Daily SMA50: 0.6601
    Daily SMA100: 0.6657
    Daily SMA200: 0.6892
Levels:
    Daily High: 0.6884
    Daily Low: 0.6798
    Weekly High: 0.6884
    Weekly Low: 0.6706
    Monthly High: 0.663
    Monthly Low: 0.6424
    Daily Fibonacci 38.2%: 0.6851
    Daily Fibonacci 61.8%: 0.6831
    Daily Pivot Point S1: 0.6825
    Daily Pivot Point S2: 0.6769
    Daily Pivot Point S3: 0.674
    Daily Pivot Point R1: 0.6911
    Daily Pivot Point R2: 0.694
    Daily Pivot Point R3: 0.6996

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

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