NZD/USD may weaken further

Since none of the nearest supports were capable of withstanding the bearish pressure after 0.85 proved to be impenetrable, NZD/USD has entered the area that is largely free from any major levels. Accordingly, the pair is now well-positioned to aim for the lows seen in the first quarter around 0.82, although the daily and weekly technicals are pointing upwards.

The most recent price action, namely a decline in the kiwi's value, confirms that 71% of SWFX market participants were right to open short positions on NZD/USD. Concerning the orders placed on the currency pair, 73% are the buy orders and the remaining 27% are the sell ones.