NZD/USD Sellers regain control, slammed below 0.7100

Dhwani Mehta FXStreet

The New Zealand dollar got battered by its American counterpart in the Asian trading this Monday, slamming NZD/USD to daily lows below 0.71 handle.

Currently, the NZD/USD pair drops -0.50% to trade at 0.7094, hovering within a striking distance of daily lows struck at 0.7088. The NZD/USD pair remains heavily offered on the back of reduced demand for higher-yielding emerging market currencies, in response to higher US treasury yields, which in-turn boosts the greenback at the expense of the NZD.

Further, renewed concerns surrounding a Hard-Brexit landing ahead of the UK PM May’s speech on Brexit, also weighs on the majors amid increased demand for safe-havens such as the yen, gold etc.

Focus now shifts towards key economic releases lined up this week, with the NZ GDT price index, US CPI, China data dump to remain the main risk events that will have significant impact on the Kiwi.

NZD/USD Levels to consider

To the upside, the next resistance is located at 0.7134 (200-DMA), above which it could extend gains to 0.7150 (psychological levels) and from there to 0.7189 (daily R3). To the downside immediate support might be located at 0.7046 (10-DMA) and from there to at 0.7029 (50-DMA), below which 0.7000 (key support) would be tested.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

EUR/USD holds losses near 1.1850 as US, China holidays keep trade muted

EUR/USD opens the week on a softer note, trading near 1.1860 during the Asian session on Monday. Activity is likely to remain muted, with United States markets closed for the Presidents’ Day holiday, while Mainland China is also shut for the week-long Lunar New Year break.

GBP/USD flat lines as traders await key UK macro data and FOMC minutes

The GBP/USD pair kicks off a new week on a subdued note and oscillates in a narrow range, just below mid-1.3600s, during the Asian session. Moreover, the mixed fundamental backdrop warrants some caution for aggressive traders as the market focus now shifts to this week's important releases from the UK and the US.

Gold remains below $5,050 despite Fed rate cut bets, uncertain geopolitical tensions

Gold edges lower after registering over 2% gains in the previous session, trading around $5,030 per troy ounce during the Asian hours on Monday. However, the non-interest-bearing Gold could further gain ground following softer January Consumer Price Index figures, which reinforced expectations that the Federal Reserve could cut rates later this year.

Top Crypto Losers: Dogecoin, Zcash, Bonk – Meme and Privacy coins under pressure

Meme coins such as Dogecoin and Bonk, alongside the privacy coin Zcash (ZEC), are leading the broader market losses over the last 24 hours. DOGE, ZEC, and BONK ended their three consecutive days of recovery with a sudden decline on Sunday, as crucial resistance levels capped the gains. Technically, the altcoins show downside risk, starting the week under pressure.

Global inflation watch: Signs of cooling services inflation

Realized inflation landed close to expectations in January, as negative base effects weighed on the annual rates. Remaining sticky inflation is largely explained by services, while tariff-driven goods inflation remains limited even in the US.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.