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- OMF (based on The New Zealand Herald)
Pair's Outlook
The weekly PP gave in yesterday, allowing the NZD/USD currency pair to reach the monthly pivot point at 0.6375. The Kiwi's bullish momentum is yet to fade, as the New Zealand currency is testing the major level of 0.64 today. Gains should not exceed 0.6514, the one-week high, also bolstered by the weekly R1 this week. However, the NZ Dollar remains under the risk of retreating to the weekly PP, while technical indicators are showing bearish signs, bolstering the possibility of a negative outcome. A break through 0.6342, namely the weekly PP, is likely to contribute to a decline back under 0.63.
Traders' Sentiment
There are now 67% of traders holding short positions (previously 53%), while 84% of all commands are to sell the Kiwi, up from 68%.
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