NZD/USD downside targets 55 DMA

By FXStreet FXStreet (Guatemala) – NZD/USD is currently trading at 0.6587 with a high of 0.6669 and a low of 0.6574.

NZD/USD has started to stabilize in the vicinity of the 0.66 handle, with a 25 dip below there today while the greenback continues to gather pace in respect of bullishness in data and Yellen voicing hawkish remarks with the December meeting around the corner. The data today supports a rate hike in December and the key component this week will come from the Nonfarm Payrolls report on Friday. Analysts at Danske Bank expect the October job growth to keep December hike in play.

Valeria Bednarik, chief analyst at FXStreet explained however, “Still, there are no guarantees the FED will act before the year end, and regardless market’s beliefs, the Nonfarm Payroll report can be a double edge knife, with more chances of denying the move than confirming it.” … And here is why…

Meanwhile, casting minds back to yesterday, despite the performance of US data today and forthcoming, the picture is not rosy for the NZ economy and the bird may be pressured on its own accord. Yesterday, a combination of Fonterra’s dairy auction and jobs data weighed on …read more

Source:: FX Street