© Dukascopy Bank SA
"There is positive risk appetite after the Chinese data over the weekend. The dollar is on the defensive"
- Nordea Bank AB (based on Bloomberg)Pair's Outlook
Yet another attempt of bears to penetrate the 55-day SMA did not succeed, triggering short-squeeze that has already forced the pair to rise above the weekly PP. The next resistance is situated at 0.8247/63, but for now appears to be in a relative safety, as technical studies are mostly silent at the moment. In the meantime, possible losses are to be limited by supports at 0.8190/79 and 0.8167/54.
Traders' Sentiment
Sentiment of traders remains generally unchanged, i.e. strongly negative, with respect to NZD/USD, as almost three out of four market participants (74%) presently hold short positions on the currency pair. Distribution between buy and sell orders supports bearish outlook, being 32% to 68%, accordingly.
© Dukascopy Bank SA