NZD/USD Regains 100-DMA Amid Positive Equities
A better risk environment persisting in the Asian session so far provides fresh impetus to the NZD/USD pair and takes the rate back above 100-DMA barrier located at 0.6742.
NZD/USD eyes 100-DMA at 0.6739
Currently, the NZD/USD pair trades +0.10% higher at 0.6750, trying hard to take-out next upside barrier placed near 0.6760 region. Having bottomed out near 0.6725 region towards NY close, the Kiwi continues to move higher and now attempts a break beyond 100-DMA as a minor-recovery in the Asian equities helped lift the overall market sentiment towards risky/ higher-yielding assets.
However, the upside appears to lack follow through as the USD bulls jumped back into the bids in Asia, following a brief correction seen in the previous session, further fuelled by weak durable goods data. Markets now await the US prelim GDP and consumer sentiment data ahead of Fed Yellen’s speech, for fresh direction on the major
NZD/USD Levels to consider
To the upside, the next resistance is located at 0.6782/0.6800 (20-DMA/ round number), above which it could extend gains to 0.6852 (daily R2). To the downside immediate support might be located at 0.6700/0.6665 (round number/ 200-DMA) and from there to at 0.6618 (Mar 10 Low).