NZD/USD attempts to reach Aug high

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"Broad stabilisation in risk appetite, combined with a less gloomy outlook for the NZ dairy sector, appears to have extended recent upward momentum. This has likely taken the market by surprise, given recent data showed the speculative community maintained NZD 'short' positions, despite no longer being at extremes." 
- Bank of New Zealand (based on The New Zealand Herald) 


Pair's Outlook 
The Kiwi behaved in accordance with the forecast, as it went over the immediate resistance and managed to stabilise above the 0.66 psychological level. Although the NZD/USD is muted right now, the momentum is expected to change later today, when the Fed's Minutes begin. The New Zealand Dollar is supported by Bollinger band, the weekly and monthly R2 around 0.6575, and the technical studies retain their bullish signals, suggesting the pair is to surge today. The NZD has the potential to reach the Aug high, but risks of edging lower stull persist. 

Traders' Sentiment 
Traders' sentiment remains bearish, but at 59% (previously 61%), whereas the number of sell commands dropped from 79 to 70%.
© Dukascopy Bank SA

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