NZD/USD trades at fresh multi-month highs above 0.6700

US Dollar Index slumps below 96.80 ahead of mid-tier data.
China's retail sales are expected to rise by 8% in 2019.
Coming up on Tuesday: Manufacturing and Non-Manufacturing PMI data from China.

Eren Sengezer FXStreet

The NZD/USD pair gained more than 100 pips last week and stretched higher on Monday to touch its strongest level in more than five months at 0.6720. As of writing, the pair was up 0.2% on the day at 0.6712.

Earlier in the day, retail sales in China are expected to rise by 8% in 2019 following the 9% growth recorded in 2018, China's official news agency, Xinhua, reported, citing a commerce ministry official to help the NZD continue to gather strength against the greenback.

Ongoing USD weakness allow pair to stay in green

On the other hand, the selling pressure surrounding the USD remains intact on Monday as markets are getting ready to wrap up the year. The US Dollar Index, which tracks the USD's value against a basket of six major currencies, erased 0.7% last week and was last down 0.2% on the day at 96.82.

Later in the session, Pending Home Sales and Dallas Fed Manufacturing Index data will be released from the US. In the early trading hours of the Asian session on Tuesday, NBS Manufacturing PMI and Non-Manufacturing PMI reading from China will be watched closely for fresh signs of recovery in the world's second-largest economy.

Technical levels to watch for

NZD/USD

Overview
Today last price	0.6713
Today Daily Change	0.0014
Today Daily Change %	0.21
Today daily open	0.6699

Trends
Daily SMA20	0.6589
Daily SMA50	0.6471
Daily SMA100	0.6409
Daily SMA200	0.6524

Levels
Previous Daily High	0.6712
Previous Daily Low	0.6666
Previous Weekly High	0.6712
Previous Weekly Low	0.6597
Previous Monthly High	0.6466
Previous Monthly Low	0.6321
Daily Fibonacci 38.2%	0.6694
Daily Fibonacci 61.8%	0.6684
Daily Pivot Point S1	0.6673
Daily Pivot Point S2	0.6646
Daily Pivot Point S3	0.6627
Daily Pivot Point R1	0.6719
Daily Pivot Point R2	0.6738
Daily Pivot Point R3	0.6765

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.

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