© Dukascopy Bank SA
- CMC Markets (based on WBP Online)
Pair's Outlook
The New Zealand Dollar plunged against the American one on Tuesday, driven not only by falling oil prices, but also by rising unemployment rate in New Zealand. As a result, the NZD/USD currency pair breached the immediate support area, now facing the support trend-line of the ascending channel pattern. The trend-line is now also reinforced by the 20-day SMA, attempting to prevent the Kiwi from breaking the pattern. Upside movement is to be limited by the resistance cluster circa 0.6930, namely the weekly and the monthly PPs. In the meantime, technical indicators in the weekly timeframe support the probability of the channel being preserved.
Traders' Sentiment
There are 51% of traders holding long positions (previously 47%), while the share of buy orders slid from 59 to 56%.
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