NZD/USD steps back from 0.8113/03

Yesterday's surge came to an abrupt halt as soon as NZD/USD reached the bearish resistance line that may be drawn through the highs posted since May 13. Monthly pivot point, weekly R1 and Mar 13 low that are located nearby also present a challenge for the pair's rally. Consequently, a path of the least resistance leads south, towards a long-term up-trend line at 0.7716.

The difference in preferences of market participants to the U.S. Dollar and its New Zealand counterpart has finally manifested itself in the traders' sentiment towards NZD/USD—now only 36% of positions are long. As for the orders, 52.5% of them are to sell the kiwi against the greenback.