NZD/USD on the edge of erasing weekly gains

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"US domestic inflation conditions will force the Fed's hand to raise rates, despite the economy sitting on the verge of recession. Not to do so will lose what residue of confidence investors still have in the Fed." 
- Societe Generale (based on FXStreet) 

Pair's Outlook 
The NZD/USD pair's performance was similar to the USD/CAD's, as it remained relatively unchanged over the past 24 hours, with exception of experiencing a four-pip rally. The Kiwi is now expected to edge lower, as technical indicators in the daily timeframe are now giving bearish signals. The 55-day SMA and the monthly S1 form a support cluster just under today's opening price, but the pair is still expected to fall under the 0.68 major level. The second area to limit the losses lies around 0.6740, represented by the weekly S1, the Bollinger band and the 100-day SMA; however, we expect a drop not further than 0.6760. 

Traders' Sentiment 
Bulls are now outnumbering the bears by only 2% points, compared to 8% points on Thursday. Meanwhile, there are 85% of all pending orders to sell the New Zealand Dollar (previously 51%).
© Dukascopy Bank SA

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