NZD/USD: consolidated ahead of US data

By FXStreet FXStreet (Guatemala) – NZD/USD is currently trading at 0.6326 with a high of 0.6361 and a low of 0.6294.

NZD/USD is finding pressures stemming from the overnight highs and the consolidation leaves the bird exposed to downside pressures as we head towards the end of the week after a minor recovery on the Fonterra news this week.

The overnight action came in the greenbacks performances with benign data but favouritism to the dollar while at the end of the US shift, Yellen prepared markets for a rate hike before the year is out depending on data releases between now and then. Tomorrow has US GDP and this could be the final flurry of activity before the week is up, with the 200 SMA at 0.6331 today a pivotal point in the very near term.

NZD/USD bearish

The 200 SMA on the hourly at 0.6330 is a key position that the bird will either fail at or close above to set the scene for the near term. A break to the downside exposes the 50 SMA at 0.6320 and 0.6240 support beneath there. To the upside, a recovery to 0.6400 is required to alleviate immediate downside pressures.
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Source:: FX Street