NZD/USD remains capped under the 0.6100 mark, US Services PMI eyed

NZD/USD posts modest gains around 0.6095 in Tuesday’s early Asian session.
Fed’s Bostic said the Fed is under no urgent pressure to cut interest rates given a strong economy.
China will deliver a top annual political event, which might ease the fear about the fate of the Chinese economy.

Lallalit Srijandorn FXStreet

The NZD/USD pair remains capped under the 0.6100 mark during the early Asian session on Tuesday. Financial markets will be cautious this week as they await economic data and policy guidance. The US February ISM Services PMI will be due later in the day. The pair currently trades near 0.6095, up 0.02% on the day.

Atlanta Fed President Raphael Bostic said that the Federal Reserve (Fed) is under no urgent pressure to cut interest rates given a strong economy and job market. Bostic further stated that it will likely be appropriate for the Fed to approve two quarter-point rate cuts by the end of this year. San Francisco Fed President Mary Daly said central bank officials are ready to lower interest rates as needed but emphasized there's no urgent need to cut given the strength of the economy.

Investors will take more cues from Fed's Chair Jerome Powell's testimony on Wednesday, which might offer some hints about a broad overview of the economy and monetary policy. The hawkish remarks might lift the US Dollar (USD) and act as a headwind for the NZD/USD pair.

China’s economy has been roiled by a property sector crisis, raising concern about the health of the second-largest economy in the world. Market players will monitor the National People's Congress to see what's on offer when it starts on Tuesday. The development surrounding the stimulus plan from Chinese authorities could boost the China-proxy New Zealand Dollar (NZD) and cap the downside of the NZD/USD pair.

Looking ahead, the US ISM Services PMI will be due on Tuesday, along with the final S&P Global Services PMI, Factory Orders, and the RCM/TIPP Economic Optimism Index. Additionally, the Fed’s M. Barr is set to speak. These events could give a clear direction to the NZD/USD pair.

NZD/USD

Overview
Today last price	0.6095
Today Daily Change	-0.0013
Today Daily Change %	-0.21
Today daily open	0.6108

Trends
Daily SMA20	0.6126
Daily SMA50	0.6167
Daily SMA100	0.6096
Daily SMA200	0.6077

Levels
Previous Daily High	0.6112
Previous Daily Low	0.6078
Previous Weekly High	0.6201
Previous Weekly Low	0.6076
Previous Monthly High	0.6219
Previous Monthly Low	0.6037
Daily Fibonacci 38.2%	0.6099
Daily Fibonacci 61.8%	0.6091
Daily Pivot Point S1	0.6087
Daily Pivot Point S2	0.6065
Daily Pivot Point S3	0.6052
Daily Pivot Point R1	0.6121
Daily Pivot Point R2	0.6134
Daily Pivot Point R3	0.6155

Author

Lallalit Srijandorn

FXStreet

Lallalit Srijandorn is a Parisian at heart. She has lived in France since 2019 and now becomes a digital entrepreneur based in Paris and Bangkok.

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