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- TD Securities (based on FXStreet)
Pair's Outlook
The New Zealand Dollar made a U-turn yesterday, completely negating previous week's, as the immediate support cluster failed to limit the losses. The Greenback's strength persists for another day, pushing the Kiwi even lower. As a result, the NZ Dollar's latest three-week recovery could be in vain, as the US currency is on the edge of erasing them as well. The lowest support today is represented by the weekly S2 and the Bollinger band, located around 0.6985, since technical indicators are unable to confirm the bearish outlook, there is a chance the exchange rate will stabilise around the second demand area by the end of the day, namely the weekly S1 and the 200-day SMA circa 0.7070.
Traders' Sentiment
Once again 70% of all open positions are short, but the portion of purchase orders is now in the majority, taking up 52% of the market.
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