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"We think things are going to be very data-dependent. At the moment that looks like U.S. numbers are going to be relatively robust compared with some other G7 peers, so the dollar is likely to be relatively robust versus other developed country currencies."
- C-View (based on CNBC)
Pair's Outlook
Even though a test of the support at 0.8125/22 prompted strong buying, the surge, as expected, was halted by a cluster of resistances at 0.8218/0.8197. Now the pair is likely to move south, though there it will eventually meet the 200-day SMA, which may not let the down-trend to persist for long. Therefore we first need a breach of either 0.8218/0.8197 or 0.8105/0.8093 before deciding what are the long-term prospects of NZD/USD.
Traders' Sentiment
An overwhelming majority of the SWFX market participants believe the New Zealand Dollar has already topped out and is about to fall, since 74% of them are presently holding short positions on NZD/USD. Among the orders, most (64%) are to sell the kiwi.
© Dukascopy Bank SA