NZD/USD jumps back closer to Monday's swing high, around 0.6515


  • A turnaround in the risk sentiment lends some support to riskier currencies – like the Kiwi.
  • A modest pickup in the USD demand might now keep a lid on any meaningful recovery move.
  • Traders now eye US economic docket for short-term impetus ahead of FOMC on Wednesday.

The NZD/USD pair jumped around 25-pips in the last hour or so and spiked back closer to the previous session's swing high, around the 0.6515 region.

The pair continued showing some resilience below the key 0.6500 psychological mark, with a sudden turnaround in the global risk sentiment prompting some short-covering around perceived riskier currencies - like the Kiwi.

The ECB President Mario Draghi's dovish remarks in Sintra opened the door for an interest rate cut and boosted investors’ appetite for riskier assets, which was evident from a solid intraday bounce in the European equity markets. 

Meanwhile, some renewed US Dollar buying interest, primarily led by some aggressive selling around the shared currency, turned out to be the only factor keeping a lid on any strong follow-through recovery move, at least for now.

Hence, it remains to be seen if the attempted bounce is backed by any genuine buying or is solely led by intraday short-covering as market participants now look forward to the US economic docket for some fresh impetus.

Tuesday's US economic docket - featuring the release of housing starts and building permits, might now be looked upon for short-term trading opportunities, though the key focus will remain on Wednesday's FOMC policy update.

Technical levels to watch

NZD/USD

Overview
Today last price 0.6511
Today Daily Change 0.0017
Today Daily Change % 0.26
Today daily open 0.6494
 
Trends
Daily SMA20 0.6557
Daily SMA50 0.661
Daily SMA100 0.6719
Daily SMA200 0.671
Levels
Previous Daily High 0.6515
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% 0.65
Daily Fibonacci 61.8% 0.6506
Daily Pivot Point S1 0.6485
Daily Pivot Point S2 0.6476
Daily Pivot Point S3 0.646
Daily Pivot Point R1 0.6509
Daily Pivot Point R2 0.6524
Daily Pivot Point R3 0.6534

 

 

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

Latest Forex News

Editors’ Picks

EUR/USD falls toward 1.0850 amid relative coronavirus calm

EUR/USD is trading closer to 1.0850 as bargain-seekers grab stocks and push US yields higher after the coronavirus-related sell-off. Conflicting headlines about potential German stimulus have weighed on the euro.

EUR/USD News

GBP/USD pressured under 1.2950 amid Brexit, coronavirus fears

GBP/USD has been unable to recapture 1.2950 as markets are somewhat less worried about coronavirus. The EU's mandate for post-Brexit talks confirmed demands for a level-playing field that the UK rejects.

GBP/USD News

Cryptocurrencies: Exaggerated neurotic fear? Price doesn't lie

Current levels do not justify negative market sentiment. The panic created by Covid-19 could underpin the mass adoption of Blockchain technology. The main moving averages provide key support levels after the sharp rises from the December levels.

Read more

Gold surrenders early gains, refreshes session low around $1630 region

Gold surrendered its early modest gains and has now drifted into the negative territory, refreshing session lows around the $1634-335 region.

Gold News

FXStreet launches Real-Time Trading Signals

FXStreet Signals offers access to explanatory live webinars, real-time notifications when signals are triggered and exclusive membership to the company’s Telegram group, where users get direct guidance by our analysts and get room to discuss and interact.

More info

Forex MAJORS

Cryptocurrencies

Signatures