NZD/USD: falling back to key support on 0.68 handle

By FXStreet NZD/USD has settled back from the 0.6841 highs that were just a wide spread away from the 0.6847 highs made on the 12th of May.

NZD/USD had gained some traction overnight in the US on the back of the GDT auction that came in line with the rise in futures showing a 3% gain in WMP leading the index higher to 2.6% vs 1.4% fall previously.

The CPI data from the U.S. that could suggest that the June hike from the FOMC is back on cards was only a temporary glitch to the birds ascent. The numbers arrived as 0.9% YoY to 1.1%YoY in April (0.4% MoM), and the core rate was above 2.0% (2.1%YoY). However, despite the lack of uptake, the dollar finally made some ground later in the US shift while Lockhart and Williams suggest June is indeed a live meeting. The bird is now on the back-foot and was sent towards 200 sma at 0.6805 on the hourly sticks.

NZD/USD levels

NZD/USD remains in encouraging territory on the bullish side having taken out the 0.6800 in a clear break, previously pushing on through the 200 sma on the 1hr sticks at 0.6808. However, that is now being tested to …read more

Source:: FX Street