Nzdusd - page 22
You are missing trading opportunities:
- Free trading apps
- Over 8,000 signals for copying
- Economic news for exploring financial markets
Registration
Log in
You agree to website policy and terms of use
If you do not have an account, please register
NZD/USD edges higher in choppy trade
The New Zealand dollar edged higher against its U.S. counterpart in choppy trade on Monday, but gains were capped by downbeat manufacturing data from China, while Friday's U.S. economic reports continued to limit the greenback's gains.
NZD/USD hit 0.6572 during late Asian trade, the session low; the pair subsequently consolidated at 0.6597, up 0.10%.
The pair was likely to find support at 0.6531, Friday's low and resistance at 0.6682, Friday's high.
Data earlier showed that China's Caixin manufacturing purchasing managers' index ticked down to 47.8 in July from 48.2 the previous month. Analysts had expected the index to rise to 48.3 this month.
China is New Zealand's second biggest export partner.
Meanwhile, the greenback's gains were limited after the Labor Department reported on Friday that U.S. employment costs rose 0.2%, the lowest gain since 1982, compared to expectations for a 0.6% increase.
The University of Michigan also said on Friday that its consumer sentiment index ticked down to 93.1 in July from 93.3 the previous month, confounding expectations for a rise to 94.0.
The kiwi was steady against the Australian dollar, with AUD/NZD at 1.1074.
NZD/USD Forecast August 10-14
The New Zealand dollar continued suffering due to a variety of reasons. Retail sales stand out this week. Will the kiwi fall even further? Here is an analysis of fundamentals and an updated technical analysis for NZD/USD.
Following the rate cut by the RBNZ, new blows came from the yet another fall in dairy prices as well as a weaker than predicted gain in employment: only 0.3%. At least the unemployment rate remained unchanged at 5.9%. In the US, most data points came out better than expected.
source
The Kiwi stays oscillating around the 0.6600 level. The 0.6700 may continue acting as resistance and the 0.6500 level as support.
NZD/USD: Kiwi Rebounds From 6-Yr Low on China-Induced Instability
The kiwi profoundly advanced against the US dollar on Wednesday afternoon, as investors were assessing the potential outcome of China's second surprising move on the forex market.
"China is still a big unknown, and the market is pricing in the worst," Brown Brothers Harriman head of currency strategy Marc Chandler mentioned. "Many people in the market think that there's less chance of a September hike,'' he added.
However, the initial reaction of the NZD/USD cross was on the downside, as the kiwi fell to a fresh six-year low at $0.6468 during the Asian market hours. As seen on the daily chart, the pair still remained under strong bearish pressure, but with trading activity trapped in a relatively narrow range with a strong monthly support at the $0.65 level.
In the afternoon, the kiwi soundly gained, trading 1.55% elevated at $0.6633 against the buck, while the US dollar index lost 1.22% to 96.05 points, reaching the one-month bottom.
Macro updates
Shortly after the US opening bell, the Bureau of Labor Statistics unveiled June's JOLTS job openings at 5.25 million, falling below the forecast of 5.35 million, after a downwardly revised reading of 5.35 million booked previously.
In addition, the fresh monthly budget statement for July is on the schedule later during the day, anticipated to reach a deficit of $137 billion in July.
Meanwhile, the Federal Reserve Bank of New York President and FOMC voting member William Dudley spoke about the regional economic outlook in Rochester. Dudley commented on China's latest move, saying "obviously if the Chinese economy is weaker than maybe what the Chinese authorities anticipated, it's probably not inappropriate for the currency to adjust in consequence to that weakness."
As for New Zealand's updates, its macro calendar remained silent today, while investors await the business PMI update for July due tonight, after a reading of 55.2 points booked previously.
source
NZD/USD Forecast August 17-21
The New Zealand dollar experienced some fluctuations on the background of retail sales. The highlights are the milk auction and inflation expectations. Here is an analysis of fundamentals and an updated technical analysis for NZD/USD.
Chinese data, including weak PPI and a shrink in exports had some negative impact on the kiwi, especially after the big yuan devaluation. After falling to new lows, sentiment changed and the move was perceived as USD negative, helping the pair recover. Good US data balanced the picture once again. Another blow to the kiwi came from poor retail sales. The economy doesn’t look good.
source
The NZDUSD is still consolidated, but it is visiting the 0.6600 level, which if it breaks it to the upside, it may try to go and visit the 0.6700 level.
NZD/USD forecast for the week of August 24, 2015
The NZD/USD pair rose during the course of the week, using the 0.65 level as support. The 0.6750 level above is resistance, and as a result we are not ready to start buying at this point. In fact, we would prefer to see this market go well above the 0.70 level in order to start buying. In the meantime, we are simply standing on the sidelines as we feel longer-term traders do not have enough room to move in this market at the moment. Now that we are at the end of summer though, liquidity should start to pick up and we should get a little bit more clarity.
Good range for the NZDUSD, could it be a good opportunity for range trading? But it could also break out of the consolidation at any moment.
NZD/USD: Kiwi Corrects Heavy Losses
The kiwi consolidated on the upside following yesterday's massive sell-off, spurred by risk aversion coming from Chinese growth concerns.
The NZ dollar peaked to an overnight high of $0.6538 before retreating below the $0.65 handle, but still maintaining firm gains, up 0.26% to $0.6494.
Antipodean currencies were largely supported on Tuesday by a rebound in commodity prices, notably oil. Brent crude futures rose 0.68% to $42.73 per barrel on Tuesday as oil markets opened for the day, while WTI futures gained 0.60% to $38.29 per barrel.
Mainland China's benchmark Shanghai Composite tumbled 3.2% to 3,106.71 points on Tuesday morning, adding to yesterday's 8.4% slump.
In seeking to boost its competitiveness, Chinese authorities appear to have triggered widespread concerns that all is not as well as previously thought with the world’s second biggest economy. This move triggered a widespread reassessment of valuations in some of the most sensitive sectors to the business and commodity cycle.
"This in turn triggered a sell-off in Chinese equity markets on concerns about over optimistic valuations, which in turn triggered a host of margin calls from investors who had borrowed money to purchase equities. These concerns about Chinese growth have in turn prompted a similar reassessment of other global equity markets and similarly respective elevated valuations," Micheal Hewson from CMC Markets UK wrote on Tuesday.
"We will need to hear of easing measures fairly soon and we need to hear of (Chinese) commercial banks increasing liquidity to infrastructure projects. In general, the focus has to shift to something sizeable on the fiscal side," Chris Weston from IG added.
"China needs to convince the domestic market and the world that its economy is able to cope with further outflows and that its slowdown is under control," Weston added.
source
New Zealand - Fonterra offers interest free loans to NZ dairy farmers
We've got a Global Dairy Trade auction due today during London timeI'll get a preview up a little later
Ahead of that, some news from Fonterra in NZ:
There's gonna be small print, so don't front up to Fonterra with a copy of this post in hand expecting a bonanza, K?