All the technical data, charts, tools and indicators you need to analyze and trade the NZD/USD
COT NET POSITIONING
BULLISH PERCENTAGE INDEX
NZD/USD, THE “KIWI”
The NZD/USD pair, also called the “Kiwi”, tells the trader how many US dollars (the quote currency) are needed to purchase one New Zealand dollar (the base currency). This currency pair is also known as the "Kiwi". Together with the Australian Dollar and the Canadian Dollar, the NZD is a commodity currency, that is a currency whose country's exports are largely comprised of raw materials (precious metals, oil, agriculture, etc.).
Along with the Australian Dollar, the NZD has been for many years a traditional vehicle for carry traders, which has made this currency also very sensitive to changes in interest rates.
FORECAST FOR 2019
FXStreet’s contributors, surveyed at the end of December 2018, expected the NZD/USD Forecast to accelerate down in the second semester and be at 0,6500 by the end of 2019.
Market risk sentiment would remain skewed towards the downside as political tensions throw investors for a loop.
There are fears that escalation in the trade conflict between the United States and China will continue and intensify. China is New Zealand’s main trading partner.
HISTORIC HIGHS AND LOWS FOR NZD/USD
- All-time records: Max : 1.49 on 5/11/1973 - Min: 0.3962 on 16/10/2000
- Last 12 months (March 2016-March 2017): Max: 0.74854 on 07/09/2016 - Min: 0.63478 on 20/01/2016
- Last 5 years (March 2011-March 2016): Max: 0.88360 on 10/07/2014 - Min: 0.65794 on 20/08/2015
ORGANIZATIONS, PEOPLE AND ECONOMIC DATA THAT INFLUENCE NZD/USD
The organizations and people that affect the most the moves of the NZD/USD pair are:
- Reserve Bank of New Zealand (RBNZ) that issues statements and decides on the interest rates of the country. Its Governor is Graeme Wheeler.
- New Zealand Government (whose Prime Minister is Bill English) and its Ministry of Business, Innovation and Employment (MBIE) (led by Simon Bridges) that implement policies that affect the economy of the country.
- Asia-Pacific Economic Cooperation (APEC), forum for 21 Pacific Rim member economies that promotes free trade throughout the Asia-Pacific region.
- The US Government (and its President Donald Trump): events as administration statements, new laws and regulations or fiscal policy can increase or decrease the value of the US Dollar and the currencies traded against it, in this case the Australian Dollar.
- Fed, the Federal Reserve of the United States whose president is Janet Yellen. The Fed controls the monetary policy, through active duties such as managing interest rates, setting the reserve requirement, and acting as a lender of last resort to the banking sector during times of bank insolvency or financial crisis.
In terms of economic data, as for most currencies, the NZD/USD traders have to keep an eye on:
- GDP (Gross Domestic Product), the total market value of all final goods and services produced in a country. It is a gross measure of market activity because it indicates the pace at which a country's economy is growing or decreasing. Generally speaking, a high reading or a better than expected number is seen as positive for the NZD, while a low reading is negative.
- Inflation measured by key indicators as the CPI (Core Price Index) and the PPI (Production Price Index), which reflect changes in purchasing trends.
ASSETS THAT INFLUENCE NZD/USD THE MOST
- Currencies: AUD, CNY and YEN (Australia, China and Japan are important regional partners of New Zealand). This group also includes the following currency pairs: EUR/USD, GBP/USD, USD/JPY, AUD/USD, USD/CHF, USD/CAD, GBP/JPY and EUR/JPY
- Commodities: First of, coal. New Zealand has extensive coal resources: coal accounts for about 10% of New Zealand’s primary energy (excluding transport fuels). Other important commodities are Silver and Iron Ore.
- Bonds: GNZGB10 (New Zealand Govt Bond 10 Year) and AGB (debt securities issued by the Australian Government) and T-NOTE 10Y (10 year United States Treasury note).
- Indices: NZX (New Zealand Exchange), ASX (Australian Securities Exchange) and Nikkei 225 (a stock market index for the Tokyo Stock Exchange).