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- ASB Institutional (based on Investing.com)
Pair's Outlook
On Wednesday the New Zealand Dollar edged higher against the US counterpart, thus, causing the ascending channel pattern to be broken to. The NZD/USD pair is now aiming for the 0.72 major level, but it is uncertain whether the exchange rate will be able to stabilise above that area, despite even technical indicators suggesting a rally is due. There are two resistances on the way, first of all, the weekly and the monthly R2s around 0.7190, second, the weekly R3 and the Bollinger band. From below, however, there is the 38.20% Fibo and the weekly R1, but this cluster is unlikely to limit the losses if those occur.
Traders' Sentiment
Traders' sentiment remains bearish, with 74% of traders holding short positions today. Concerning the pending orders in the 100-pip range, 60% of them are to purchase the Kiwi.
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