© Dukascopy Bank SA
"The kiwi had quite a strong rally and bounced off its low on the back of the supposed meeting of the politicians."
- ASB Institutional (based on TVNZ)
Pair's Outlook
Pair remains bound, but within tighter range—upper limit is still at 100 day SMA, whilst lower limit could be attributed to monthly PP at 0.8187. Due to the lack of conclusive signals it is reasonable to expect that pair will remain rather volatile, but range bound with slight upside, similar to today.
Traders' Sentiment
For the third consecutive day bears have lost significant chunk of the market—at the moment the hold 59% of all positions (-6% since yesterday; -11% in last two days). However, 62% of pending orders are to go short suggesting that bears should continue constituting for majority of market participants.
© Dukascopy Bank SA