NZD/USD testing US session lows

By FXStreet FXStreet (Guatemala) – NZD/USD is continuing along on the offer while commodities remain under pressure and sighted to remains so for the foreseeable future by IMF’s Legarde.

NZD/USD is stepping into an even more bearish neck of the woods while the price diverges away from the 50 SMA on the hourly chart and is capped at the 50 DMA on the daily sticks on the 23rd of August’s extension of the downtrend.

The US dollar had been weakening at the start of the month, but the commodity currencies are unable to sustain any kind of a recovery. In the case of the Kiwi, in European hours, Fonterra’s dairy auction result came in at +10.9% vs last month’s +14.8%, but the bird was unmoved on this data, and at the same time, in the US session, not even the worst result in ISM manufacturing for the US since May 2013 was able to bring about any sustained upside for the unit and at time of writing, with spot at 0.6328, the pair is testing the lows of the NY session at 0.6322.

Next we have the Nonfarm Payrolls this week for the pair and analysts at TD Securities explained, “We expect …read more

Source:: FX Street