NZD/USD wavers around 0.7300 despite weaker-than-expected China Caixin Services PMI


  • NZD/USD ignores China’s downbeat Caixin Services PMI for February.
  • NZ data also eased earlier in the day after bulls cheered weaker USD, NZ GDT figures on Tuesday.
  • Sluggish market sentiment ahead of the key data/events probe traders.

NZD/USD stays unaffected during its three-day upbeat, currently around 0.7300, following China’s weaker-than-expected data amid Wednesday’s Asian session. The reason could be traced from mixed risk catalysts and downbeat NZ data, published earlier in the day.

China’s Caixin Services PMI eases from 52.0 to 51.5 during February. In doing so, the Chinese activity numbers mark sustained weakness for the previous month as not only the private survey data but official figures are also weak.

Elsewhere, New Zealand Building Permits for January eased from upwardly revised 5.9% to 2.1% whereas February’s ANZ Commodity Price Index dropped below 3.6% prior to 3.3% earlier in Asia.

It’s worth mentioning that New Zealand’s GDT Price Index rose to the highest since September 2015 while flashing a 15.0% mark in its latest reading versus 3.0% prior on Tuesday. Further details suggest the average prices of the Whole Milk Powder (WMP) rose to the seven-year top of USD4,364/MT on Tuesday.

Talking about risks US President Joe Biden’s vaccine optimism joins hopes of an easy budget from the UK and hopes of a rate cut from the Chinese central bank to favor the bulls. However, cautious sentiment ahead of speech from Fed Chair Powell, US employment figures and the UK budget, not to forget US stimulus updates, keep the risks sluggish.

Amid these plays, S&P 500 Futures seesaw around 3,870, up 0.20% intraday whereas the US 10-year Treasury yields look for fresh clues to overcome the 1.41% level.

Moving on, a light calendar ahead of the US ISM Services PMI and ADP Employment Change can keep disappointing the momentum traders. However, risk catalysts may play their roles.

Technical analysis

Sellers are less likely to enter unless witnessing a daily closing below an ascending trend line from December 21, currently around 0.7195. As a result, bulls are up for challenging the area surrounding highs marked in January and touched twice last month, around 0.7320.

additional important levels

Overview
Today last price 0.73
Today Daily Change 0.0000
Today Daily Change % 0.00
Today daily open 0.73
 
Trends
Daily SMA20 0.7256
Daily SMA50 0.72
Daily SMA100 0.7039
Daily SMA200 0.6804
 
Levels
Previous Daily High 0.7308
Previous Daily Low 0.7209
Previous Weekly High 0.7466
Previous Weekly Low 0.7223
Previous Monthly High 0.7466
Previous Monthly Low 0.7135
Daily Fibonacci 38.2% 0.727
Daily Fibonacci 61.8% 0.7247
Daily Pivot Point S1 0.7237
Daily Pivot Point S2 0.7174
Daily Pivot Point S3 0.7138
Daily Pivot Point R1 0.7336
Daily Pivot Point R2 0.7371
Daily Pivot Point R3 0.7434

 

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Take advantage of market volatility with our daily Forex, Crypto and Indices Trade Ideas!

Become Premium!    

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD: Bulls target 100-DMA again ahead of Eurozone PMIs

EUR/USD is back on the bid above 1.2000, snapping three straight days of sluggishness. The US dollar has resumed its downtrend, helping the spot to make another attempt towards 1.2050. Eurozone/US PMIs awaited after a non-event ECB.

EUR/USD News

GBP/USD: Looks to UK Retail Sales, PMI to regain 1.3900

GBP/USD stays mildly bid above 1.3850, as the US dollar retreats across the board. Covid vaccine updates and upbeat UK data outweigh renewed Brexit jitters. Focus shifts to the UK Retail Sales and PMIs.

GBP/USD News

EUR/USD: Bulls target 100-DMA again ahead of Eurozone PMIs

EUR/USD is back on the bid above 1.2000, snapping three straight days of sluggishness. The US dollar has resumed its downtrend, helping the spot to make another attempt towards 1.2050. Eurozone/US PMIs awaited after a non-event ECB.

EUR/USD News

Gold remains two steps away from $1800 and beyond

Gold (XAU/USD) is attempting a tepid bounce after falling 1% on Thursday amid a sharp recovery staged by the US dollar. Risk-aversion gripped the markets on Bloomberg report that the Biden administration is proposing higher taxes on the wealthy to pay for its social plan.

Gold News

Lagarde cautiousness & Biden's taxes

All market chatter is about Biden's taxes & their impact on shares and cryptos. But let's discuss that ECB decision first-- The economic outlook is improving in Europe, yet you wouldn't know it from Lagarde's Thursday comments after the ECB decision.

Read more

Forex MAJORS

Cryptocurrencies

Signatures