8 Jun 2015
NZD/USD extends recovery to 0.7070
FXStreet (Monday) - The New Zealand continues its fight back from four and a half year lows versus its American counterpart in the European session, further pushing NZD/USD towards 0.71 barrier. The Kiwi extends its rebound, correcting heavy losses seen on Friday post upbeat US jobs data, as the US dollar loses steam against its major rivals on USD concern rumour.
NZD/USD eyes 0.71 handle
Currently, the NZD/USD pair trades higher by 0.33% at 0.7067, moving away from fresh 4-1/2 year lows reached at 7023 reached on Friday. NZD/USD remains strongly bid this session on the back of USD weakness following news that stronger USD poses a problem.
The recovery in NZD/USD also extends as markets continue to cheer upbeat China’s trade figures which revealed that China's trade surplus expanded in May. China is New Zealand’s top export destination.
On Friday, NZD/USD slumped to the lowest level since September 2010 after the US dollar regained the driver’s seat following stellar non-farm payrolls which stoked the odds for an early rate hike a bit higher.
Looking ahead, traders will now turn their attention towards RBNZ’s rate decision due on Thursday amid a data-light USD calendar this week.
NZD/USD Levels to consider
To the upside, the next resistance is located at 0.7077 (Today’s High) levels and above which it could extend gains to 0.7105 (May 31 Low). To the downside immediate support might be located at 0.7023 (June 5 Low) levels below that at 0.7000 levels.
NZD/USD eyes 0.71 handle
Currently, the NZD/USD pair trades higher by 0.33% at 0.7067, moving away from fresh 4-1/2 year lows reached at 7023 reached on Friday. NZD/USD remains strongly bid this session on the back of USD weakness following news that stronger USD poses a problem.
The recovery in NZD/USD also extends as markets continue to cheer upbeat China’s trade figures which revealed that China's trade surplus expanded in May. China is New Zealand’s top export destination.
On Friday, NZD/USD slumped to the lowest level since September 2010 after the US dollar regained the driver’s seat following stellar non-farm payrolls which stoked the odds for an early rate hike a bit higher.
Looking ahead, traders will now turn their attention towards RBNZ’s rate decision due on Thursday amid a data-light USD calendar this week.
NZD/USD Levels to consider
To the upside, the next resistance is located at 0.7077 (Today’s High) levels and above which it could extend gains to 0.7105 (May 31 Low). To the downside immediate support might be located at 0.7023 (June 5 Low) levels below that at 0.7000 levels.