NZD/USD closes in on 0.8489/53

The New Zealand Dollar is not losing its pace of appreciation despite proximity of the strong resistance area at 0.8489/53. Technical studies continue to point to the upside, but there is a lack of arguments backing a lasting surge beyond the Dec 14 high in the nearest future. Still, we do not rule out such a possibility, but consider the occurrence of the rally in March rather then earlier as a more likely course of events.

The share of short positions opened on NZD/USD has marginally increased, up to 72%, signifying that there is no fundamental change in traders' sentiment, who still expect a beneficial for bears evolution of price. The amounts of buy and sell orders, however, are equal.