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– UOB Group (based on FXStreet)
Pair's Outlook
On Thursday the New Zealand Dollar weakened against the US Dollar, but managed to find support at the second support cluster circa 0.72. Technically, the NZD/USD pair should now undergo a bullish correction and stabilise around the second resistance area, namely around 0.7280; however, there is still sufficient room for the pair to close trade in the red zone. The 100-day SMA, the weekly S1, the monthly PP and the ascending channel's lower border form a tough support cluster just 30 pips below today's opening price. Furthermore, technical studies are giving mixed signals, unable to confirm either scenario. Overall, risks are skewed to the downside on the last weekday.
Traders' Sentiment
Bearish traders' sentiment remains unchanged at 67% today, but the share of purchase orders increased from 59 to 61%.
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