NZD/USD Price Analysis: Bounces off 11-week low after China data


  • NZD/USD remains below 61.8% Fibonacci retracement despite China CPI-led pullback.
  • November 2019 low can please sellers while buyers will avoid entry below 200-day SMA.

NZD/USD pulls back from multi-week low to 0.6405 after China released January month inflation data on early Monday.

Read: Chinese CPI YoY (Jan): 5.4% vs 4.9% expected and 4.5% prior, (fastest rise since Oct 2011)

While better than forecast CPI and PPI readings triggered the quote’s bounce from the lowest since November 21, 2019, the quote still remains below the key resistances and remains on the bears’ radar.

Among them, 61.8% Fibonacci retracement of October-December 2019 upside, at 0.6415, acts as the immediate upside barrier, a break of which could challenge January lows near 0.6455/50.

Even if the pair manage to cross 0.6455 on a daily closing basis, 50% Fibonacci retracement and 200-day SMA, around 0.6480 and 0.6505 respectively, will keep buyers in check.

Alternatively, the pair’s declines below 0.6400/0.6395 horizontal support can drag it towards November month bottom surrounding 0.6315.

Assuming the bear’s dominance past-0.6315, 0.6240 will offer an intermediate halt to the southward trajectory targeting the year 2019 low near 0.6200.

NZD/USD daily chart

Trend: Bearish

Additional important levels

Overview
Today last price 0.6405
Today Daily Change 4 pips
Today Daily Change % 0.06%
Today daily open 0.6401
 
Trends
Daily SMA20 0.6549
Daily SMA50 0.659
Daily SMA100 0.6473
Daily SMA200 0.6504
 
Levels
Previous Daily High 0.6465
Previous Daily Low 0.6397
Previous Weekly High 0.6504
Previous Weekly Low 0.6397
Previous Monthly High 0.6741
Previous Monthly Low 0.6453
Daily Fibonacci 38.2% 0.6423
Daily Fibonacci 61.8% 0.6439
Daily Pivot Point S1 0.6377
Daily Pivot Point S2 0.6353
Daily Pivot Point S3 0.6309
Daily Pivot Point R1 0.6445
Daily Pivot Point R2 0.6489
Daily Pivot Point R3 0.6513

 

 

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