NZD/USD supply below 200 SMA caps minor recovery

By FXStreet FXStreet (Guatemala) – NZD/USD has consolidated the bounce from the lows of the supply that capped attempts that the hourly 200 SMA at 0.6331 and moves sideways in early Asia.

NZD/USD dropped heavily from above the 0.64 handle earlier in the week and made lows of 0.6255 before the recovery to the highs of 0.6338 scored in the European session. A drift to 0.6255 were the next lows scored in the US session before the Kiwi followed suit of the recovery in commodities. Gold was up 0.69% and oil was up nearly $1.50 in the US close while all three major stock indexes were in the green also, albeit down from the highs of the session.

RBNZ weighs on NZD/USD

The RBNZ statement was the major theme yesterday and left the Kiwi subject to further downside in time to come. This was on the back of the statement suggesting that the bird is too high and that further rate cuts could be substantial depending on data going forward.

NZD/USD levels below 200 SMA

Technically, the 200 SMA crossed below the 50 SMA on the supply from above the 0.64 handle and until territory can be established above the 200 SMA …read more

Source:: FX Street