NZD/USD testing 200-day SMA

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"We strongly feel the framework for monetary policy, including a flexible exchange rate, has been one of the reasons New Zealand is in a relatively resilient position, compared with some other countries." 
- IMF (based on The New Zealand Herald)

Pair's Outlook

Although pair managed to advance a bit above 200-day SMA, but as  expected did not spend much time there and at the moment is trading just slightly above the mentioned SMA. Distribution of pending orders suggest we should expect peaks now and then, but overall sentiment and technical indicators suggest that pair is not yet ready to go with the expectations of major market participants and rise to 0.84. 

Traders' Sentiment

Bear domination in the market is overwhelming—it has been almost two weeks now as they account for at least a 70% of market participants. Pending orders are in there favour as well. 57% of all pending orders are to sell the kiwi versus the greenback.

© Dukascopy Bank SA

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