NZD/USD rebounds to 0.7200 after US May jobs report

NZD/USD rose sharply amid renewed USD weakness on Friday.
NZD/USD remains on track to post modest weekly losses.
US Dollar Index holds above 90.00 after NFP-inspired drop.

Eren Sengezer FXStreet

After spending the majority of the day consolidating the weekly losses around 0.7050, the NZD/USD pair staged a decisive rebound during the American trading hours and was last seen gaining 0.8% on the day at 0.7200.

USD loses its footing ahead of the weekend

The US Bureau of Labor Statistics reported on Friday that Nonfarm Payrolls rose by 559,000 in May. This print missed the market expectation of 650,000 and triggered a USD selloff with investors expecting the Fed to preserve its dovish stance. Further details of the publication showed the Labor Force Participation ticked down to 61.6% from 61.7% and the Unemployment Rate declined to 5.8% from 6.1%.

Reflecting the negative impact of the uninspiring jobs report on the greenback, the US Dollar Index (DXY) erased a large portion of Thursday's gains and was last seen losing 0.4% at 90.14.

Meanwhile, Wall Street's main indexes are posting strong gains on the day, making it difficult for the DXY to retrace its fall. Currently, the S&P 500 and the Nasdaq Composite indexes are up 0.72% and 1.55%, respectively.

NFP Quick Analysis: Dollar buying opportunity? Two reasons why dollar downing is likely temporary.

Technical levels to watch for

NZD/USD

Overview
Today last price	0.7198
Today Daily Change	0.0052
Today Daily Change %	0.73
Today daily open	0.7146

Trends
Daily SMA20	0.723
Daily SMA50	0.7164
Daily SMA100	0.7181
Daily SMA200	0.7017

Levels
Previous Daily High	0.7242
Previous Daily Low	0.7126
Previous Weekly High	0.7317
Previous Weekly Low	0.7158
Previous Monthly High	0.7317
Previous Monthly Low	0.7115
Daily Fibonacci 38.2%	0.717
Daily Fibonacci 61.8%	0.7197
Daily Pivot Point S1	0.71
Daily Pivot Point S2	0.7055
Daily Pivot Point S3	0.6984
Daily Pivot Point R1	0.7217
Daily Pivot Point R2	0.7288
Daily Pivot Point R3	0.7333

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

EUR/USD appears supported by the 200-day SMA, for now

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GBP/USD hits new yearly lows near 1.3300

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Gold eases some ground, approaches $5,300

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