© Dukascopy Bank SA
"The market might try to take it (the kiwi) a bit more to the upside, but it depends on Mr Putin in the near-term."
- Westpac Banking (based on The New Zealand Herald)
Pair's Outlook
After yesterday's struggle to break 0.8400 the pair breached it today and approached a new 2014 high at 0.8431. After reaching this level NZD/USD fell beneath Bollinger Band at 0.8416 and we expect a further decline towards weekly PP at 0.8348. Even though majority of daily technical indicators support pair's advance we think that it is unlikely. We hold negative bias towards NZD/USD and we see it falling towards monthly PP/55-day SMA at around 0.8283.
Traders' Sentiment
The gap between the bearish and bullish SWFX traders is little changed as 72.5% are holding short position. As for the orders, 55% of the market participants are to sell and remaining 45% are to buy the Kiwi versus the greenback.
© Dukascopy Bank SA