NZD/USD looks to extend losses beyond 0.7000 as risk sentiment deteriorates


  • NZD/USD manages to hold onto 0.7000 following the previous session’s decline.
  • US Dollar Index remains steady below 0.7300 on better-than-expected US employment data.
  • NZD dollar maintains muted tone amid risk aversion despite rate hike expectations.

NZD/USD exhibits some strength on Friday’s European session following the previous session’s sell-off. The pair hovers in a very narrow trade band of 10 pips on USD strength.

The pair witnessed heavy selling pressure in the American session and retreated further from daily highs, the levels just below the 0.7100 mark, touched earlier in the previous week.

The buying pressure in the US Dollar Index (DXY), which measures the greenback performance against its six major rivals, drags NZD/USD toward the lower levels. The DXY trades steady near 93.00.

The US Initial Jobless Claims dropped for a third consecutive week at 375K, closer to a pandemic low of 368K at the end of June.

Meanwhile, several members of Fed officials came in front to support tapering asset purchases in the coming months.

In addition to that, the increasing corona cases in the Asia-Pacific region underpins the demand of the US dollar on the back of its global safe-haven asset.

On the other hand, Kiwi was able to hold near 0.7000 after Fitch in its latest assessment reported the Reserve Bank of New Zealand likely to hike rate in the upcoming monetary policy meeting on August 18.

The sentiment was further supported after the Business NZ Performance of Manufacturing Index gained 62.6 in July, from 60.7 in the previous month.

It is worth noting that S&P 500 Futures were trading at 4,453, down 0.02% for the day.

As for now, all eyes are on US Trade data and Michigan Consumer Sentiment Index for Aug to take fresh trading impetus.

NZD/USD additional levels

NZD/USD

Overview
Today last price 0.7003
Today Daily Change 0.0002
Today Daily Change % 0.03
Today daily open 0.7001
 
Trends
Daily SMA20 0.699
Daily SMA50 0.7027
Daily SMA100 0.7096
Daily SMA200 0.7109
 
Levels
Previous Daily High 0.7049
Previous Daily Low 0.6995
Previous Weekly High 0.7089
Previous Weekly Low 0.6952
Previous Monthly High 0.7106
Previous Monthly Low 0.6881
Daily Fibonacci 38.2% 0.7016
Daily Fibonacci 61.8% 0.7028
Daily Pivot Point S1 0.6981
Daily Pivot Point S2 0.6961
Daily Pivot Point S3 0.6927
Daily Pivot Point R1 0.7035
Daily Pivot Point R2 0.7069
Daily Pivot Point R3 0.7089

 


 

Share: Feed news

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Recommended content


Recommended content

Editors’ Picks

AUD/USD risks a deeper drop in the short term

AUD/USD risks a deeper drop in the short term

AUD/USD rapidly left behind Wednesday’s decent advance and resumed its downward trend on the back of the intense buying pressure in the greenback, while mixed results from the domestic labour market report failed to lend support to AUD.

AUD/USD News

EUR/USD leaves the door open to a decline to 1.0600

EUR/USD leaves the door open to a decline to 1.0600

A decent comeback in the Greenback lured sellers back into the market, motivating EUR/USD to give away the earlier advance to weekly tops around 1.0690 and shift its attention to a potential revisit of the 1.0600 neighbourhood instead.

EUR/USD News

Gold is closely monitoring geopolitics

Gold is closely monitoring geopolitics

Gold trades in positive territory above $2,380 on Thursday. Although the benchmark 10-year US Treasury bond yield holds steady following upbeat US data, XAU/USD continues to stretch higher on growing fears over a deepening conflict in the Middle East.

Gold News

Bitcoin price shows strength as IMF attests to spread and intensity of BTC transactions ahead of halving

Bitcoin price shows strength as IMF attests to spread and intensity of BTC transactions ahead of halving

Bitcoin (BTC) price is borderline strong and weak with the brunt of the weakness being felt by altcoins. Regarding strength, it continues to close above the $60,000 threshold for seven weeks in a row.

Read more

Is the Biden administration trying to destroy the Dollar?

Is the Biden administration trying to destroy the Dollar?

Confidence in Western financial markets has already been shaken enough by the 20% devaluation of the dollar over the last few years. But now the European Commission wants to hand Ukraine $300 billion seized from Russia.

Read more

Forex MAJORS

Cryptocurrencies

Signatures