NZD/USD falls precipitously

Increased supply at a major resistance line has knocked down the price, forcing it to approach 0.8358/32, the up-trend for the last nine months. The latter level secures the bullish outlook, which is also reinforced by the weekly and monthly technical indicators that in aggregate are giving strong "buy" signals. Consequently, 0.8476 is likely to violated, but there is more time needed for it to be fully eroded.

The general attitude of traders to the New Zealand Dollar remains strongly negative, as on average the currency is sold in 74% of cases across the market, the same distribution between long and short positions is on NZD/USD as well. As for the orders placed on the currency pair, 54% of them are to acquire the kiwi and 46% are to sell it against the greenback.