- The New Zealand Dollar has not been impacted much despite Retail Sales data missed estimates.
- NZD/USD is hoping for a cushion around the 20-MA (High-Low) band.
- A slippage in the RSI (14) to the 40.00-60.00 range is merely a loss of momentum, not a bearish reversal.
The NZD/USD pair has attempted a recovery after dropping to near 0.6250 in the Asian session. The market mood is extremely quiet as investors are returning gradually after a holiday on account of Thanksgiving Day. Also, the USD Index (DXY) has turned flat after displaying a wild gyration in the morning trade.
The Kiwi asset has not been impacted much after New Zealand Retail Sales missed estimates. The economic data landed at 0.4%, lower than the consensus of 0.5% but remained firmer from the prior release than the prior release of -2.3%.
On an hourly scale, the Kiwi asset is looking for the ground near the 20-period Moving Average (High-Low) in the dimensions of 0.6252-0.6270. Broadly, the upward-sloping trendline placed from November 10 low at 0.5841 will act as a major support for the counter.
Meanwhile, the Relative Strength Index (RSI) (14) has fallen into the 40.00-60.00 range from the bullish range of 60.00-80.00. This indicates that the New Zealand Dollar has lost momentum, however, the upside bias is still intact.
Should the asset break above Thursday’s high at 0.6288, the New Zealand Dollar bulls will drive the asset towards August 1 high at 0.6353, followed by the round-level resistance at 0.6400.
Alternatively, a decline below weekly lows at 0.6088 will drag the Kiwi asset toward November 14 low at 0.6061. A slippage below the latter will expose the major to drag further near the psychological support of 0.6000.
NZD/USD hourly chart
-638049426612714025.png)
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD rises toward 1.0850 as USD struggles to recover
EUR/USD has regained its traction and rose to the 1.0850 area after having retreated toward 1.0800 earlier in the session. The US Dollar struggles to stage a decisive rebound despite upbeat consumer confidence data from the US, allowing the pair to continue to push higher.
GBP/USD advances to fresh daily highs near 1.2350
Following a correction to the 1.2300 area, GBP/USD reversed its direction and advanced toward 1.2350. Although Wall Street's main indexes are trading mixed on Tuesday, the US Dollar stays on the back foot and helps the pair gather bullish momentum.
Gold: XAU/USD grinds north above $1,950 Premium
Spot gold trades near a daily high of $1,970.03 a troy ounce, as broad US Dollar weakness helped the metal recover some ground. XAU/USD trimmed half of its Monday’s losses, although a better market mood subdued demand for the bright metal.
Ethereum (ETH) options traders turn bearish ahead of the token unlock
Ethereum is holding steady above the $1,700 level despite slight bearish sentiment among options traders. Analysts have noted a rise in open interest in Ethereum, as co-founder Lubin assures that the altcoin is not a security.
S&P 500: With banking crisis in rear view, market pushes index closer to 4,000
The S&P 500 on Monday moved ahead cautiously without much fanfare after the US government agreed to sell $72 billion worth of Silicon Valley Bank assets to First Citizens Bank (FCNCA).