© Dukascopy Bank SA
- Bank of New Zealand (based on The New Zealand Herald)
Pair's Outlook
The Kiwi experienced substantial volatility to the downside on Thursday, but managed to close trade near the monthly S1. However, the NZD/USD currency pair remains subject to weakness, which could result in the NZ currency falling back under the 2010 low. Moreover, the New Zealand Dollar has already reached the five-year low, but whether it stabilises higher or lower depends on the strength or weakness of the US fundamental data. With the Kiwi's exit from the descending channel, we could still see a rebound and trade to be maintained above 0.66.
Traders' Sentiment
Bulls grained some numbers, as 41% of all positions are long (previously 27%). Buy orders, however, dropped from 56 to 38%.
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