NZD/USD to break through the monthly PP

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"Commodity prices in general are improving but Dairy does not seem to be able to join the rally, which is weighing on the NZD in the short term." 
- Tuatara Asset Management (based on PoundSterlingLive) 


Pair's Outlook 
The New Zealand Dollar weakened against the Greenback on Monday according to expectations, unable to fully breach the support cluster around 0.6750. Today the monthly R1 is weighing on the pair just above the opening price, while the weekly PP is providing support at 0.6747. Technical studies are now giving bullish signals, implying that a rally is to prevail, however, a breach of the monthly R1 is required for such a development. In this case, the door towards retaking the 0.68 major level will once again be open, but the next target is located out of reach at 0.6852, represented by the Bollinger band. 

Traders' Sentiment 
Market sentiment shifted to the bearish side again, with 52% of traders being short the Kiwi (previously 48%). The portion of orders to acquire the NZ Dollar, on the other hand, surged from 43 to 60%.
© Dukascopy Bank SA

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