NZD/USD technical analysis: Bears dominate at fresh multi-year low after downbeat NZ data

NZD/USD drops to fresh low since October 2015 after New Zealand’s (NZ) ANZ Activity Outlook and ANZ Business Confidence slumped.
An area including September 2015 low can offer intermediate halt ahead of highlighting 2015 bottom for bears to watch.

Anil Panchal FXStreet

Disappointing statistics from New Zealand drag the NZD/USD pair to multi-year lows while it takes rounds to 0.6322 during Thursday’s Asian session.

August month’s Activity Outlook and Business Confidence data from the Australia and New Zealand Banking Group (ANZ) spread disappointment among the Kiwi traders. While Activity Outlook weakened to -0.5% from +5.0%, Business Confidence stretched its south-run to -52.3 versus -44.3 prior.

With this, the pair now aims to visit September 2015 lows surrounding 0.6236/43 with 0.6300 likely being an intermediate halt. Additionally, pair’s decline below 0.6236 might not hesitate to visit 2015 bottom near 0.6084 whereas a downward-sloping trend-line since November 2017, at 6060, may question bears afterward.

On the contrary, 14-bar relative strength index (RSI) is flashing oversold signals and may trigger the NZD/USD pair’s pullback to may month low near 0.6480 if it manages to rise past-2018 trough close to 0.6425.

NZD/USD weekly chart

Trend: bearish

Additional important levels

Overview
Today last price	0.6323
Today Daily Change	-15 pips
Today Daily Change %	-0.24%
Today daily open	0.6338

Trends
Daily SMA20	0.6443
Daily SMA50	0.6579
Daily SMA100	0.659
Daily SMA200	0.67

Levels
Previous Daily High	0.6368
Previous Daily Low	0.6326
Previous Weekly High	0.6443
Previous Weekly Low	0.6361
Previous Monthly High	0.6792
Previous Monthly Low	0.6543
Daily Fibonacci 38.2%	0.6342
Daily Fibonacci 61.8%	0.6352
Daily Pivot Point S1	0.632
Daily Pivot Point S2	0.6302
Daily Pivot Point S3	0.6278
Daily Pivot Point R1	0.6362
Daily Pivot Point R2	0.6386
Daily Pivot Point R3	0.6404

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

EUR/USD struggles near 1.1850, with all eyes on US CPI data

EUR/USD holds losses while keeping its range near 1.1850 in European trading on Friday. A broadly cautious market environment paired with a steady US Dollar undermines the pair ahead of the critical US CPI data. Meanwhile, the Eurozone Q4 GDP second estimate has little to no impact on the Euro.

GBP/USD recovers above 1.3600, awaits US CPI for fresh impetus

GBP/USD recovers some ground above 1.3600 in the European session on Friday, though it lacks bullish conviction. The US Dollar remains supported amid a softer risk tone and ahead of the US consumer inflation figures due later in the NA session on Friday.

Gold remains below $5,000 as US inflation report looms

Gold retreats from the vicinity of the $5,000 psychological mark, though sticks to its modest intraday gains in the European session. Traders now look forward to the release of the US consumer inflation figures for more cues about the Fed policy path. The outlook will play a key role in influencing the near-term US Dollar price dynamics and provide some meaningful impetus to the non-yielding bullion.

US CPI data set to show modest inflation cooling as markets price in a more hawkish Fed

The US Bureau of Labor Statistics will publish January’s Consumer Price Index data on Friday, delayed by the brief and partial United States government shutdown. The report is expected to show that inflationary pressures eased modestly but also remained above the Federal Reserve’s 2% target.

A tale of two labour markets: Headline strength masks underlying weakness

Undoubtedly, yesterday’s delayed US January jobs report delivered a strong headline – one that surpassed most estimates. However, optimism quickly faded amid sobering benchmark revisions.

Solana Price Forecast: Mixed market sentiment caps recovery

Solana (SOL) is trading at $79 as of Friday, following a correction of over 9% so far this week. On-chain and derivatives data indicates mixed sentiment among traders, further limiting the chances of a price recovery.