NZD/USD Back on the Bids above 0.68, Risk-on Underpins
The NZD bulls caught a fresh bid tone over the last hour, allowing NZD/USD to regain 0.68 barrier as the oil price rebound lifts overall market sentiment.
NZD/USD re-attempts hourly 200-SMA at 0.6817
Currently,
the NZD/USD pair trades 0.05% higher at 0.6812, flirting with session
highs printed at 0.6813 at Tokyo open. The Asian traders resorted to
taking the yield advantage amid a rebound seen in the oil and stock
markets, and thereby lifted the bids for the higher-yielding currency
NZD.
Moreover, markets appear to ignore the bearish GDT price
index and cheer the latest NZ house prices data, which continued to rise
in March. Residential property values across the country rose an
average 11.4% y/y in March, Quotable Value (QV) figures showed on
Wednesday.
However, the bulls struggle to extend to the upside as
the US dollar stages a minor pullback against its major competitors,
with the DXY rising to the tune of 0.12% at 94.72. Looking ahead,
markets now look forward to the EIA crude oil inventory report ahead of
the crucial FOMC minutes for further momentum.
NZD/USD Levels to consider
To
the upside, the next resistance is located at 0.6841/50 (5-DMA/
psychological levels), above which it could extend gains to 0.6900
(round number). To the downside immediate support might be located at
0.6721/04 (50-DMA/ daily S3) and from there to 0.6682 (100-DMA).
(Market News Provided by FXstreet)
