NZD/USD trades around year's lower levels

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The dollar has hit some highs so it's natural that positioning would cause some selling pressure. That has just started to surface now, so it probably has a bit of time still to run."
- Sumitomo Mitsui Banking Corp. (based on Bloomberg)


Pair's Outlook
The NZD/USD cross set a new this year's low at 0.8043 yesterday and now it is continuing to fluctuate around these levels, seen early this year and September 2013. The pair has lost a lot of its value in the recent months; however, the daily and weekly technical studies remain bearish, thus suggesting that there will be a further declines. We expect the monthly S3 at 0.8041 to be a critical catalyst whether the pair is likely to hold above the psychological level at 0.80.

Traders' Sentiment
The pair's down-trend is as consistent as the traders' sentiment that has been pretty much steady around 55% for more than ten trading days. Bullish side of the pending orders placed 100 pips from the spot, however, contracted by 13% and is at 42%.
© Dukascopy Bank SA

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